GIFT  OF 


DOCUMENTS 
DEPT. 


Commonwealth  of  Virginia 


REPORT 

— of  the— 

Joint  Committee 


— on — 


Tax  Revision 


1914 


Richmond   UJl     J    Virginia 


:2U_ 

i 


Letter  of  Transmittal. 

November  1,  1914. 
To  the  Honorable  HENRY  C.  STUART, 

Governor  of  Virginia. 

We  have  the  honor  to  transmit  herewith  the  report  of  the  Special 
Joint  Committee  on  Taxation,  in  accordance  with  an  act  of  the  General 
Assembly  of  Virginia,  approved  March  24,  1914. 

Respectfully  submitted, 

EDWARD  ECHOLS,  Chairman; 
HILL  MONTAGUE,  Secretary; 
Jos.  B.  ANDERSON, 
B.  P.  BUCHANAN, 
JNO.  W.  CHALKLEY,  • 
STEPHEN  R.  DONOHOE, 
A.  C.  HARM  AN, 
THOMAS  WALKER  PAGE, 
D.  H.  PITTS, 
AUBREY  G.  WEAVER. 


296202 


Ratio  of  Assessed  Value  to  Selling  V; 


-  \  ^X' 


CRAIG 


_ 

'    x  —  * 


•»•• 


F-RA.NKl.lN 

'•'       / 


of  Real  Estate  in  Counties  and  Cities 


'  r  \        A  /   ~I  *••"*'     — ; 

<"--   V^S?^    / 


BUCKINGHAM         P          P»MHATAN 

//»•/  5 


^   /--'I         .41  1_£    T  I 
/        -•»    *t  t  V    I 


MECKLENBURG 

/      3 ». 


CONTENTS. 


INTRODUCTION  :  PAGE. 

Act  Creating  the  Committee 1 

Membership  of  the  Committee 4 

Organization  and  Methods  of  Work 4 

Adjustment  of  the  Tax  Rate 5 

The  Tax  System  Recommended  by  the  Committee 6 

CHAPTER   I. 

THE  TAXATION  OF  REAL  ESTATE  IN  VIRGINIA: 

Importance  of  the  Real  Estate  Tax  in  our  Revenue  System 8 

Undervaluation   of   Real   Estate 8 

Harmful  Results  of  Unequal  Valuation 9 

1.  Inequality  Among  Individuals 10 

2.  Inequality   Among   Localities 11 

3.  Lack  of  Basis  for  Adjustment  of  Other  Taxes 13 

Explanation  of  Failure  of  Assessment  Methods 13 

Necessary  Reforms  in  Methods  of  Assessment 16 

(a)  Transcript  of  Transfers 17 

(b)  Tax   Maps    18 

Local  Equalization  of  Assessments- 19 

State  Tax  Commission  20 

A  Bill  to  Amend  Sections  437,  441,  448  of  the  Code 22 

A  Bill  to  Amend  Sections  459,  460,  461  of  the  Code 24 

A  Bill  to  Ascertain  Actual  Consideration  in  Deeds 26 

A  Bill  to  Provide  Local  Boards  of  Review  of  Assessments 27 

ASSESSMENT  OF  MINERALS  AND  MINERAL  LANDS: 

The  Present  Law   29 

Suggested  Changes  in  Method  of  Assessment 29 

Assessment  of  Mineral  Lands — Tables    31-33 

Suggested  Changes  in  the  Law 34 

A  Bill  to  Amend  Section  437-a  of  the  Code 35 

DELINQUENT  TAXES  39 

A  Bill  to  Provide  for  the  Collection  of  Delinquent  Taxes 41 

CHAPTER  II. 

THE  TAXATION  OF  PERSONAL  PROPERTY: 

Tangible    Personal    Property 46 

Assessed    Value    and    Census    Value — Table 48 

Intangible    Personal    Property 49 

Difficulty   of    Taxing   It 50 

Injustice  of  the  Present  Tax 53 

Bad   Effects  of  the  Present  Tax 54 

Methods   of  Reform   in   other   States 55 

1.  Stringent    Administration 55 

2.  Exemption    from    Direct    Taxation 56 

3.  A  very   low   Tax   Rate 56 

Proper    Tax    Rate    for    Virginia 57 

Tax    on    Money    Deposits 58 

Tax    on    Municipal    Securities 58 


vi  Contents. 


PAGE. 

Tax  on  Mortgages  and  Deeds  of  Trust 59 

Administrative  Reforms 60 

Segregation    of    Intangible    Property    for    State    Taxation 

A  Bill  Providing  for  the  Review  of  Assessments 62 

A  Bill  Providing  for  Taxing  Credits  Secured  by  Deeds  of  Trust 64 

A  Bill  to  Amend  Sections  494-6-7-8  of  the  Code 67 

A  Bill  to  Amend  Sections  8  and  9   (Schedule  C)  of  Tax  Bill 71 

CHAPTER  III. 

LICENSE  LAWS  AND  TAXES: 

License    Taxes    75 

Merchants'    Licenses 76 

Other    Licenses 78 

Consecutive   Sections   of    the   "Tax   Bill,"   including   the    Sections 

which    it    is    proposed    to    amend 79 

CHAPTER  IV. 

PUBLIC  SERVICE  CORPORATIONS: 

Railroads    and    Canals , 128 

Railroad  Taxes  compared  with  Taxes  on  Real  Estate 131 

Defects  in  the  Present  Law 133 

The   Franchise   or   Gross   Receipts   Tax 134 

Change   in   Method   of  Assessment 137 

Street    Railways 153 

Water,   Heat,   Light   and   Power   Companies 156 

Telegraph    and    Telephone    Companies 157 

Sleeping    and    Parlor    Car    Companies 157 

Express   Companies   and   Private  Car   Companies 157 

Other   Car   Service   Companies 158 

Steamboat  Companies 158 

FACTS  RELATING  TO  THE  OPERATION  OF  RAILROADS  IN  VIRGINIA: 

Table     1 140 

Table     2 141 

Table     3 142 

Table     4 143 

Table     5 144 

Table    6 145 

Table     7 146 

Table     8 147 

Table     9 148 

COMPARISON   OF   RAILROAD   TAXES   AND   REAL   ESTATE    TAXES: 

Table  10 149 

Table  11 150 

ASSESSED  AND  TRUE  VALUE  OF  RAILROAD  PROPERTY: 

Table  12. 151 

Table  13 152 

A  Bill  to  Amend  Section  27  (Railroads  and  Canals)  of  Tax  Bill..  160 

A  Bill  to  Amend  Tax  on  Water,  Heat,  Light  and  Power  Companies,  167 
A  Bill  to  Amend  Section  29  (Express  and  Car  Service  Companies) 

of  Tax  Bill  172 

A  Bill  to  Amend  Section  33  (Pullman  Car  Company)  of  Tax  Bill. . .  175 


Contents.  vii 


CHAPTER  V. 

PAGE. 

THE  TAXATION  OF  INSURANCE  COMPANIES 176 

Defects    in    our    Present    Method 178 

Remedies   for   Present    Defects 180 

Classification  of  Companies  and   Tax  Rates 181 

A  Bill  to  Amend  Sections  23,  24  and  26  of  Tax  Bill 184 

A  Bill  to  Amend  Sections  5  and  6  of  An  Act  to  Define  Sick  Benefit 

Companies   188 

A  Bill  to  Amend  two  Sections  of  Act  concerning  Bureau  of  In- 
surance      190 

A  Bill  Providing  a  Tax  on  Underwriter's  Agencies 191 

CHAPTER  VI. 

THE  TAXATION  OF  BANKS  AND  OF  TRUST  AND  SECURITY  COMPANIES: 

The   Inequality   of  Local   Rates 192 

Apportionment   of  a  Uniform   Tax 193 

The    Discrimination   against   Banks 194 

The  Rate  of  a  Uniform  Bank  Tax 194 

The  Yield  of  the  Proposed  Tax 195 

Legality  of  the  Proposed  Rate 195 

A  Bill  to  Amend  Sections  17  to  22,  inclusive,  of  Tax  Bill 199 

CHAPTER  VII. 

MISCELLANEOUS  RECOMMENDATIONS  : 

Income  Tax    202 

Inheritance    Tax    205 

Stock   Transfer   Tax 205 

Fish  and  Oyster  Tax 205 

Tax  on  Recordation  of  Deeds 206 

Administrative   Reforms    207 

A  Bill  to  Amend  Section  13  of  Tax  Bill 208 

A  Bill  to  Amend  Section  10  (Schedule  D)  of  Tax  Bill 203 

A  Bill  to  Amend  Section  603  of  the  Code 210 

CHAPTER  VIII. 

A  TAX  SYSTEM  INVOLVING  PARTIAL  SEGREGATION 211 

Features   of   the   Segregation   Plan 213 

A  Bill  Creating  such  System 216 

CHAPTER  IX. 

A  STATE  TAX  COMMISSION: 

Organization  of  a  Tax  Commission 219 

Powers  and  Duties  of  the  Tax  Commission 222 

In  Relation  to  the  Real  Estate  Tax 222 

In  Relation   to   the   Personal   Property   Tax 224 

In    Relation    to    Licenses 226 

In    Relation    to    Corporations 226 

A  Bill  Creating  such  Commission ' , 228 


viii  Contents. 


APPENDIX. 

PAGE. 
REAL  ESTATE  TAXATION: 

Table  I.  Computed  True  Value  of  Lots  and  Improvements 233 

Table  II.  Computed  True  Value  of  Lands  and  Improvements 235 

Table  III.  Computed  True  Value  of  All  Real  Estate 237 

Table  IV.  Tax  Levies  and  Tax  Rates  on  Real  Estate 238 

TANGIBLE  PERSONAL  PROPERTY  TAXATION: 

Table  V.  Assessed  Value  and  Census  Value  of  Live  Stock 242 

Table  VI.  Assessed  Value  and  Census  Value  of  Farm  Machinery..  250 
Table  VII.  Assessed  Value  and  Census  Value  of  all  Property  Listed 

in    "Schedule    B" 251 

Table  VIII.     Total  Assessed  and  Estimated  True  Value  of  all 

Tangible  Personal   Property  Listed   in   "Schedule   B" 253 

INSURANCE  TAXATION: 

Table  IX.    Insurance    Taxes 254 

Table  X.  Insurance  Taxation  by  Companies 258 

THE  TAXATION  OF  BANK  STOCK: 

Table  XI.    Taxes  Paid  by  Banks 261 

EFFECT  OF  SEGREGATION  ON  LOCAL  REVENUES 277 

Table  XII    278 

Table  XIII    282 

Table  XIV  286 

Table  XV  288 

Table  XVI 290 

RECEIPTS  AND  DISBURSEMENTS  DURING  THE  YEAR  ENDING  SENTEMBER  30,  1914: 

Exhibit  "A"    292 

Exhibit  "B"    293 

Exhibit  "C"    294 

Exhibit  "D"    297 


INTRODUCTION. 

\ 
Act  Providing  for  Committee  on  Tax  Revision. 

An  act  to  provide  for  a  Joint  Committee  on  Tax  Revision  was  passed 
by  the  General  Assembly  at  its  last  session  and  approved  by  the  Governor 
on  March  24,  1914. 

The  act  is  as  follows: 

CHAP.  212. — An  ACT  to  provide  for  the  appointment  of  a  Joint  Committee 
on  Tax  Revision  to  consider  and  report  on  all  questions  pertaining  to 
the  assessment  and  collection  of  taxes,  and  the  method  of  appropriating 
and  expending  the  revenue  of  the  State,  and  to  provide  compensation  to 
be  paid  said  committee  and  such  clerks,  stenographers  and  experts  as 
may  be  employed  by  said  committee  and  other  necessary  expenses. 

Approved  March  24,  1914. 

Whereas,  in  the -judgment  of  the  General  Assembly,  it  has  become 
necessary  that  there  be  a  careful  and  thorough  revision  and  amend- 
ment of  the  existing  laws  for  the  assessment  and  collection  of  taxes, 
and  other  revenues  of  the  Commonwealth;  and  it  is  seriously  ques- 
tioned whether  the  present  system  of  taxation  is  the  one  best  adapted 
to  the  conditions  as  they  now  exist  in  the  Commonwealth;  and, 

Whereas,  it  is  practically  impossible  at  the  present  session  of 
the  General  Assembly  (having  due  regard  to  the  other  subjects  of 
pressing  importance  demanding  its  present  attention  which  must 
be  considered  by  it)  to  give  to  the  subject  of  taxation  the  thorough 
consideration  which  its  importance  demands;  therefore, 

1.  Be  it  enacted  by  the  General  Assembly  of  Virginia,  That  a 
Joint  Committee,  consisting  of  ten,  four  of  whom  shall  be  appointed 
from  the  House  by  its  Speaker  and  three  from  the  Senate  by  its  Pres- 
ident, and  three  by  the  Governor,  and  to  be  known  as  the  Special 
Joint  Committee  on  Taxation,  be,  and  the  same  is,  hereby  created 
and  charged  with  the  duty  of  fully  considering  the  whole  system 
of  taxation  which  is  now  in  force  in  the  Commonwealth,  and  also 
of  the  existing  statutes  for  the  assessment  and  collection  of  taxes 
and  other  revenues  for  the  Commonwealth,  and  the  method  of  ap- 
propriating and  expending  the  .revenue  and  reporting  to  a  special 
session  of  the  General  Assembly,  to  be  hereafter  called,  what  changes,, 
if  any,  in  the  present  system  of  taxation  will  be  advisable,  and 
within  the  constitutional  power  of  the  General  Assembly  to  adopt; 
and  also  what  changes,  if  any,  shall  be  made  in  existing  statutes- 
for  the  assessment  and  collection  of  taxes  and  other  public  revenues, 
appropriating  and  expending  the  revenue  so  as  to  make  them  more- 
equitable,  just  and  fair  in  their  operation,  or  better  adapted  to  the 
purposes  of  raising  the  revenue  necessary  for  the  support  of  the 
government. 


Report* of'tibirintitiee  on  Tax  Revision. 


2.  The  said  Committee  shall,  immediately  upon  the  adjourn- 
ment of  the  present  session  of  the  General  Assembly,  or  as  soon  there- 
after as  practicable,  organize  by  the  election  of  one  of  its  members 
as  Chairman  and  another  of  its  members  as  Secretary,  and  proceed, 
with  all  convenient  haste,  to  make  the  inquiry  and  report  herein 
provided  for;  and  shall  thoroughly  consider  the  whole  subject  of 
taxation  by  the  Commonwealth,  and  prepare  and  report  to  a  special 
session  of  the  General  Assembly,  to  be  hereafter  called,  two  or  more 
general  systems  of  taxation,  one  upon  the  present  lines  of  taxation, 
as  set  out  in  the  existing  statutes,  one  upon  the  lines  of  segregating 
certain  subjects  of  taxation,  and  sources  of  revenue  for  State  pur- 
poses only,  and  other  subjects  for  county,  city  or  local  subjects  only, 
And  upon  such  other  line  or  lines  as  they  may  deem  proper,  with 
their  recommendation  for  the  adoption  of  such  system  as  they  may 
consider  best  for  this  State;  and  the  said  Committee  shall  submit 
by  report  alternative  schemes  of  tax  reform  for  the  General  Assem- 
bly to  consider,  together  with  such  bills  as  may  be  necessary  to  put 

.  the  same  in  effect.  The  Committee  shall  hold  its  sessions  in  any 
place  or  places  in  the  State  by  it  deemed  advisable',  and  may  from 
time  to  time,  as  circumstances  demand,  change  the  place  of  its 
meetings. 

3.  The  said  Committee  shall  have  power  to  employ  a  sergeant- 
at-arms,  such  clerks,  stenographers  and  experts  as  may  be  necessary 
to  enable  them  to  discharge  in  the  best  manner  the  duties  hereby 
imposed,   and  to  pay   such  clerks,  stenographers   and  experts   and 
sergeant-at-arms  such  reasonable  compensation  as  may  be  thought 
proper  out  of  the  appropriation  made  by  this  act,  such  payments 
to  be  made  upon  the  warrants  of  the  Chairman  of  said  Committee, 
countersigned  by  its  Secretary,  drawn  upon  the  Auditor  of  Public 
Accounts,  and  payable  by  said  Auditor  out  of  any  funds  that  may  be 
appropriated  for  the  purpose  of  carrying  this  act  into  effect;  the 
said  Committee  is  authorized  to  obtain  from  any  officer  of  this  State 
any  information  or  aid  which  it  may  require,  but  in  no  event  shall 
the  said  committee  incur  any  debt  for,  or  impose  any  obligation 
upon,  the  Commonwealth  over  and  beyond  such  amount  of  money 
as  may  be  appropriated  for  the  purpose  of  carrying  out  the  pro- 
visions of  this  act.     Said  Committee  is  authorized  to  obtain  and 
purchase  such  books,  documents  and  written  information  as  it  shall 
deem  necessary  or  desirable  for  a  study  of  any  question  or  questions 
of  taxation,  and  is  authorized  to  distribute  copies  of  same  to  all 
members  of  the  General  Assembly  should  it  be  deemed  advisable  so 
to  do. 

4.  The  members  of  said  Committee  shall  be  entitled  to  compen- 
sation for  their  services  at  the  rate  of  eight  dollars  and  thirty-three 
and  a  third  cents  per  day  for  each  and  every  day  they  are  engaged 
in  making  the  inquiry  herein  directed,  and  mileage  as  provided  by 
law,  such  compensation  to  be  paid  by  the  Auditor  of  Public  Accounts 
out  of  any  money  appropriated  for  the  purpose,  upon  the  warrant 


Introduction. 


of  the  Chairman  of  said  Committee,,  countersigned  by  its  Secretary; 
but  in  no  event  shall  the  said  members  of  the  Committee  be  entitled 
to  any  pay  or  compensation  over  and  beyond  the  amount,  or 
amounts,,  of  money  which  may  be  appropriated  for  the  purpose  of 
carying  this  act  into  effect. 

5.  The  said  Committee,  as  soon  as  it  has  prepared  its  report 
as  to  the  systems  of  taxation  to  be  recommended,  and  the  necessary 
bills  to  carry  the  same  into  effect  (which  report  shall  be  prepared 
not  later  than  November  first,  nineteen  hundred  and  fourteen)  shall 
report  the  same  to  the  Governor ;  and  the  Governor,  upon  the  receipt 
of  said  report,  is  hereby  requested  to  call  a  special  session  of  the 
General  Assembly  to  meet  not  later  than  the  first  Wednesday  in 
January,  nineteen  hundred  and  fifteen,  to  consider  the  said  report 
and  enact  such  laws  as  may  be  necessary,  or  expedient,  for  the  pur- 
pose of  carrying  the  same  into  effect,  or  for  the  purpose  of  making 
such  amendments  and  alterations  in  the  then  existing  laws  of  taxa- 
tion as  may  to  the  said  General  Assembly  seem  for  the  interest  of 
the  Commonwealth. 

6.  That  said  Committee  shall,  through  its  Secretary,  at  the  time 
it  shall  report  its  conclusions  to  the  Governor,  cause  a  copy  of  said 
report  and  bills  recommended  by  them,  to  be  mailed  to  all  mem- 
bers of  the  General  Assembly,  State  officers  of  the  Commonwealth, 
including  therein  each  judge  of  a  court  of  record,  each  clerk  of  a 
court  of  record,  each   Commonwealth's  attorney,  each  member  of 
the  board  of  supervisors  of  the  counties,  each  commissioner  of  the 
revenue  and  treasurer  of  the  counties  and  cities,  each  mayor  and 
city  attorney  of  the  cities,  each  member  of  the  councils  of  cities  of 
the  first  and  second  class,  of  the  Commonwealth,  to  the  end  that 
publicity  may  be  given  to  said  report  before  the  special  session  of 
the  General  Assembly,  which  the  Governor  is  hereby  requested  to 
call. 

7.  That  the  sum  of  thirty  thousand  dollars,  or  so  much  thereof 
as  may  be  necesary  be,  and  the  same  is,  hereby  Appropriated,  to  be 
paid  out  of  any  funds  in  the  treasury  of  the  Commonwealth,  not 
otherwise  appropriated,  to  carry  out  the  purposes  of  this  act. 

8.  In  case  any  vacancy  should  occur  in  the  Joint  Committee  by 
refusal  to  serve  or  from  any  other  cause,  then  the  vacancy  may  be 
filled  by  the  same  authority  who  made  the  'original  appointment. 

9.  An  emergency  existing  by  reason  of  the  great  importance  of 
the  subject  of  tax  revision  and  the  short  time   available  for  the 
deliberations  of  the  Joint  Committee,  this  act  shall  be  in  force  from 
its  passage. 


Report  of  Committee  on  Tax  Revision. 


Membership  of  the  Committee. 

In  compliance  with  this  act,  the  following  appointments  to  the  Com- 
mittee were  made: 
By  the  Governor : 

Joseph  B.  Anderson,  of  Danville. 

Stephen  Roszell  Donohoe,  of  Fairfax. 

Thomas  Walker  Page,  of  the  University. 
By  the  Lieutenant  Governor: 

Senator  B.  F.  Buchanan,  of  Smyth. 

Senator  Edward  Echols,  of  Staunton. 

Senator  A.  C.  Harman,  of  Richmond. 
By  the  Speaker  of  the  House: 

Hon.  John  W.  Chalkley,  of  Wise. 

Hon.  Hill  Montague,  of  Richmond. 

Hon.  D.  H.  Pitts,  of  Albemarle. 

Hon.  Aubrey  G.  Weaver,  of  Warren. 

Organization  and  Methods  of  Work. 

On  April  13th,  immediately  after  being  notified  of  their  appointment, 
the  members  of  the  Committee  met  at  the  Capitol,  and  elected  Senator 
Edward  Echols  as  Chairman,  and  Hon.  Hill  Montague  as  Secretary. 
From  that  date  to  the  completion  of  its  work  the  Committee  was  in 
almost  continuous  session. 

Throughout  its  existence  the  Committee  has  held  steadfastly  to  the 
determination  that  it  would  state  no  conclusion  and  make  no  recom- 
mendation that  was  not  based  on  facts  ascertained  at  first  hand  to  be 
true  at  the  present  time  of  this  Commonwealth.  It  has  carefully  studied 
the  practices  and  policies  of  other  States  that  faced  problems  similar 
to  those  in  Virginia;  it  has  heard  with  open  mind  opinion  and  sug- 
gestion from  very  many  of  our  own  citizens,  both  in  public  and  in  private 
life,  whom  it  believed  qualified  by  experience  and  thoughtful  observation 
to  throw  light  on  fiscal  matters ;  it  has  met  and  taken  counsel  freely  and 
frankly  with  representatives  of  all  interests  that  would  be  concerned  in 
a  possible  change  of  our  tax  system;  it  has  gone  through  a  great  mass 
of  documents,  reports,  papers  and  other  materials  descriptive  of  past 
and  of  present  conditions  in  this  State  and  in  others.  It  has  sought 
from  these  and  all  other  available  sources  to  broaden  its  vision  and  to 
quicken  its  judgment.  But  the  Committee  presents  in  this  report  nothing 
based  upon  past  investigations,  because  conditions  may  have  changed; 
nothing  based  upon  opinion,  because  it  may  be  prejudiced;  nothing 
based  upon  the  successful  policy  of  other  States,  because  conditions  in 
Virginia  may  be  different.  The  Committee  wishes  it  to  be  distinctly 
understood  that  its  recommendations  rest  absolutely  upon  information 
gathered  by  it  and  known  by  it  to  be  true.  Whenever  through  lack  of 
time  or  for  other  reasons  it  could  not  procure  the  necessary  informa- 


Introduction. 


tion,  it  has  noted  the  fact  in  the  report  and  refrained  from  making 
specific  recommendations  at  all. 

Eealizing  the  very  large  amount  of  work  that  had  to  be  done,  the 
chairman  at  an  early  date  appointed  sub-committees  to  investigate  par- 
ticular fields  and  to  present  to  the  full  Committee  the  facts  ascertained 
and  tentative  deductions  from  those  facts.  Mr.  W.  C.  Williams  was 
appointed  official  stenographer  and  assistant  to  the  secretary.  To  take 
charge  under  its  supervision  of  the  necessary  statistical  work  the  Com- 
mittee was  fortunate  in  securing  Mr.  A.  E.  James,  who  brought  to  his 
duties  many  years  of  experience  and  a  trained  judgment  in  conducting 
investigations  relating  to  taxation.  But  all  information,  whether  col- 
lected by  its  individual  members  or  by  its  assistants,  was  scrutinized  by 
the  Committee  and  its  significance  determined  after  mature  deliberation 
and  debate.  As  a  result  of  its  methods  the  work  of  the  committee  pro- 
gressed rapidly  and  entirely  without  friction  or  misunderstanding  among 
its  members. 

The  Committee  wishes  here  to  direct  attention  to  two  important  mat- 
ters for  which  there  appears  to  be  no  appropriate  place  in  the  chapters 
that  follow. 

Adjustment  of  the  Tax  Rate. 

The  State  for  more  than  a  decade  has  maintained  a  tax  rate  of  35 
cents  on  the  $100  of  the  assessed  value  of  all  taxable  property.  The 
constitution  provides  that  the  tax  rate  shall  be  prescribed  by  law;  but, 
although  assessments  have  grown  enormously  since  the  constitution  was 
adopted,  there  has  been  no  change  in  the  rate.  This  has  resulted,  of 
course,  in  a  very  great  increase  of  revenue,  and  a  surplus  in  the  treasury 
has  been  no  unusual  phenomenon  with  us.  In  the  meantime,  however, 
expenditures  have  grown  to  keep  pace  with  the  revenues,  and  a  surplus 
has  never  outlived  the  biennial  appropriations.  It  is  true  that  the  con- 
stitution provides  that:  "No  other  or  great  amount  of  tax  or  revenue 
shall,  at  any  time,  be  levied  than  may  be  required  for  the  necessary 
expenses  of  the  government,  or  to  pay  the  indebtedness  of  the  State." 
But  opinion  as  to  what  constitutes  "necessary  expenses"  will  depend 
in  large  measure  on  revenue  found  to  be  available,  and  the  necessities 
of  the  government  have  appeared  to  increase  with  every  increase  in  the 
means  at  its  disposal. 

In  the  judgment  of  this  Committee  the  appropriations  hitherto  made 
have  been  wise  and  beneficial  to  the  whole  Commonwealth,  and  the 
Committee  wishes  by  no  means  to  criticise  unfavorably  the  purposes  to 
which  the  General  Assembly  has  devoted  the  revenues  that  have  been 
collected.  But  it  does  wish  to  call  attention  very  emphatically  to  the 
widespread  fear  among  our  citizens,  a  fear  based  upon  the  experience 
of  the  last  twelve  years,  that  higher  assessments  will  inevitably  mean 
heavier  taxes.  It  is  very  necessary  that  this  fear  be  set  at  rest,  for  it 
presents  the  chief  obstacle  to  the  enforcement  of  the  law  that  all  prop- 
erty should  be  assessed  at  its  "fair  market  value."  Unless  assessments 
are  equal,  and  they  cannot  be  made  equal  except  at  the  true  and  actual 


Report  of  Committee  on  Tax  Revision. 


value  of  the  different  classes  of  property  assessed,  it  will  be  impossible 
to  distribute  evenly  the  burden  of  taxation.  In  order,  therefore,  to 
accomplish  the  equalization  that  is  desired,  it  will  be  necessary  to  adjust 
the  rate  on  assessments  after  they  are  known,  so  as  to  make  the  revenue 
equal  the  "necessary  expenses,"  and  not  to  adjust  the  "necessary  ex- 
penses," as  has  hitherto  been  done,  so  as  to  make  them  equal  to  the 
revenue  brought  in  by  an  unchanging  rate. 

Such  an  adjustment  of  the  rate  is  easily  possible  in  the  case  of  local 
governments.  After  the  assessments  are  known  and  the  necessary  ex- 
penses are  agreed  upon,  a  rate  is  usually  fixed  that  will  yield  the  amount 
of  money  that  is  needed.  But  this  method  is  more  difficult  for  the 
General  Assembly,  for  the  reason  that  it  meets  only  once  in  two  years 
and  must  complete  its  appropriations  before  it  can  know  the  assessed 
value  of  certain  classes  of  property  from  which  a  portion  of  the  revenue 
must  be  derived  to  cover  those  appropriations.  Under  such  circum- 
stances the  General  Assembly  hesitates  to  lower  the  rate  for  fear  assess- 
ments will  not  come  up  to  expectations;  while  the  citizens,  on  the  other 
hand,  object  to  proper  assessments  for  fear  the  rate  will  not  be  cor- 
respondingly reduced. 

This  Committee  recommends  that  the  General  Assembly  at  its  ap- 
proaching special  session  shall  make  it  clear  that  the  purpose  of  tax 
revision  is  not  to  increase  the  revenues,  but  only  to  equalize  the  tax 
burden.  There  will  be  a  reassessment  of  real  estate  in  1915,  and  if 
the  valuation  is  increased,  as  it  ought  to  be,  the  present  tax  rate  will 
bring  in  an  enormously  greater  revenue  and  impose  a  great  and  unneces- 
sary burden  upon  our  citizens.  The  Committee  is  of  the  opinion  that 
the  present  revenues  are  abundantly  sufficient  for  the  present  necessary 
expenses;  and  it  believes,  therefore,  that  the  State  tax  rate  levied  upon 
the  new  assessments  can  be,  and  should  be,  materially  reduced.  The 
exact  degree  of  reduction,  however,  cannot  be  determined  until  the  result 
of  the  reassessment  is  known.  That  information  will  be  available  when 
the  General  Assembly  meets  in  regular  session  in  1916,  and  it  can  then 
fix  the  rate  for  the  two  succeeding  years  at  which  taxes  are  to  be  levied 
on  the  assessment  that  is  made  in  1915. 

The  Tax  System  Recommended  by  the  Committee. 

The  act  creating  the  Committee  requires  that  the  Report  shall  include 
a  "recommendation  for  the  adoption  of  such  system  as  they  may  consider 
best  for  the  State."  Two  general  systems  of  taxation  are  submitted; 
and  the  Committee  is  unanimous  in  the  belief  that  each  one  of  them  is 
the  best  of  its  kind  that  can  be  devised  to  fit  the  conditions  in  the  Com- 
monwealth. One  of  them,  in  compliance  with  the  law,  is  a  tax  system 
involving  partial  segregation.  This  system  is  recommended  by: 

B.  F.  Buchanan, 
S.  R.  Donohoe, 
Aubrey  G.  Weaver. 


Introduction. 


The  other  system  involves  the  establishment  of  a  State  Tax  Com- 
mission, and  it  is  recommended  by: 

Joseph  B.  Anderson, 
John  W.  Chhlkley, 
Edward  Echols, 
A.  C.  Harman, 
Hill  Montague, 
Thomas  Walker  Page, 
D.  H.  Pitts. 


CHAPTER  I. 

• 

THE  TAXATION  OF  REAL  ESTATE  IN  VIRGINIA. 
Importance  of  the  Real  Estate  Tax  in  Our  Revenue  System. 

In  Virginia  the  tax  on  land  is  now  and  seems  likely  long  to  remain 
the  basic  tax  of  any  revenue  system  that  rests  upon  property  and  not  upon 
income.  Land  is  fixed  in  situs  and  amount,  and  though  its  value  is  sub- 
ject to  very  great  fluctuations,  yet  its  variations  are  not  so  sudden  nor  the 
causes  of  them  so  obscure  as  in  the  case  of  other  kinds  of  property.  The 
land  tax,  therefore,  is  relatively  easy  to  assess  and  difficult  to  evade.  For 
that  reason,  among  others,  consciously  or  unconsciously,  we  commonly  de- 
termine the  justice  of  the  rates  at  which  other  kinds  of  property  are 
taxed  by  comparing  them  with  the  tax  on  land.  It  is  true  that  motives 
of  public  policy  may  lead  to  heavier  taxation  of  particular  kinds  of  prop- 
erty, or  to  their  partial  or  total  exemption;  but  when  considerations  of 
revenue  alone  prevail,  it  is  the  land  tax  that  furnishes  the  standard  for 
measuring  and  adjusting  all  others.  • 

It  is  evident,  then,  that  if  Virginia  wishes  to  reform  her  revenue  sys- 
tem, and  is  not  prepared  to  abandon  property  as  the  basis  of  it,  she  must 
begin  by  reforming  her  method  of  taxing  land. 

Undervaluation  of  Real  Estate  for  Taxation. 

The  chief  defects  at  present  are  found  in  the  appraisal  of  real  estate. 
Undervaluation  is  practically  universal.  This  would  not  be  so  serious  if 
the  degree  of  undervaluation  were  known  and  were  everywhere  the  same ; 
but  this  is  notoriously  not  true.  Real  estate  in  some  counties  is  assessed 
at  more  than  fifty  per  cent,  of  its  selling  value ;  in  other  counties  at  less 
than  twenty  per  cent.  Indeed,  there  is  reason  to  believe  that  considerable 
parcels  and  tracts  are  escaping  the  assessors  altogether,  for  in  1910 
there  were  put  on  the  books  many  thousands  of  acres  that  had  not  pre- 
viously been  taxed,  and  we  have  no  means  of  knowing  whether  the 
assessors  found  all  that  had  been  escaping.  And  not  only  does  undervalu- 
ation vary  in  degree  from  county  to  county  and  from  city  to  city,  for 
within  the  limits  of  the  localities  inequalities  are  even  more  gross  and 
unjust.  It  thus  happens  that  some  citizens  of  Virginia  are  paying  in 
taxes  many  times  more  than  other  citizens  on  lands  of  the  same  value. 

In  order  to  ascertain  the  degree  of  undervaluation  our  committee  pro- 
cured a  list  of  all  the  recorded  sales  of  real  estate  in  Virginia  during  the 
year  beginning  February  1,  1912,  and  ending  January  31,  1913,  the  year 
that  is  midway  between  the  last  preceding  and  the  next  approaching 
assessment.  It  is  proper  for  us  to  say  that  we  do  not  regard  the  ratio  of 
assessments  to  selling  prices  as  an  infallible  indication  of  the  degree  of 


Chapter  I — Taxation  of  Real  Estate. 


undervaluation.  The  appraisal  of  all  real  estate  cannot  be  made  merely 
by  a  study  of  sales  in  any  community.  The  work  of  the  assessor,  as  ex- 
plained below,  is  by  no  means  so  simple.  It  should  be  remembered  in 
studying  our  tables  that  many  sales  are  induced  by  exceptionally  high 
offers,,  and  would  not  occur  at  all  at  the  "fair  market  value."  It  is  true, 
on  the  other  hand,  that  some  sales  are  made  under  necessity  at  prices 
below  the  value  of  the  property,  but  sales  of  this  class  are  less  numerous 
than  the  others.  Therefore,  the  real  degree  of  undervaluation  of  all  the 
real  estate  in  any  county  or  city  is  without  doubt  somewhat  less  than  the 
ratios  in  our  tables  indicate.  For  making  comparisons,  however,  of  assess- 
ments in  one  locality  with  those  in  another,  we  regard  the  tables  as  entirely 
trustworthy,  since  the  same  motives  for  selling  at  any  price  at  all  would 
apply  broadly  in  all  our  counties  and  cities. 

For  obvious  reasons  many  of  the  sales  threw  no  light  on  the  true  value 
of  the  property.  Some  were  mere  trading  transactions ;  others  were  clearly 
shown  on  the  face  of  the  record  to  be  arranged  among  relatives  so  that 
other  considerations  than  money  were  likely  to  be  involved.  Such  trans- 
actions were  eliminated  from  our  list,  as  they  were  apt  to  be  misleading. 
There  were  likewise  excluded  all  sales  made  by  commissioners  and  other 
officers  of  the  court,  sales  to  public  service  corporations  and  sales  to  the 
government,  whether  Federal,  State  or  local.  Our  purpose  was  to  include 
only  fair  voluntary  transactions,  made  after  reasonable  advertisement, 
where  the  seller  was  under  no  compulsion  to  sell  and  the  buyer  under  no 
compulsion  to  buy.  We  frankly  admit  that  motives  not  strictly  economic 
may,  without  our  knowledge,  have  affected  the  price  paid  in  many  of  the 
sales  retained  in  our  list,  but  we  are  convinced  that  such  motives  would 
weigh  as  much  on  one  side  as  on  the  other,  and  that  they  would  not  appre- 
ciably affect  the  average  for  the  State  as  a  whole,  or  for  any  county  or  city. 

Our  final  list,  thus  purged  of  doubtful  transactions,  contained  16,263 
sales  in  the  counties,  and  4,431  in  the  cities.  With  the  price  paid 
at  each  sale  we  compared  the  assessment  on  the  property  transferred. 
The  results  in  tabulated  form  are  shown  in  the  Appendix  to  this  report. 

By  this  comparison  of  assessments  with  prices  actually  paid  in  bona 
fide  sales,  we  found  that  the  average  assessment  of  real  estate  for  the  hun- 
dred counties  of  Virginia  is  thirty-three  and  a  half  per  cent,  of  its  "fair 
market  value,"  and  for  the  cities  the  average  assessment  is  fifty-three  per 
cent.  In  every  county  and  city  we  found  wide  differences  in  the  ratio  of 
assessment  to  selling  price  among  individual  owners.  Some  properties 
were  assessed  at  a  very  high  rate,  a  few  were  above  their  selling  price; 
others,  on  the  contrary,  were  sometimes  assessed  in  the  same  neighbor- 
hood at  less  than  ten  per  cent,  of  what  they  sold  for. 

Harmful  Results  of  Unequal  Valuation, 

Under  such  circumstances,  who  can  say  what  the  land  tax  in  Virginia 
is  ?  The  rates  of  the  tax,  both  State  and  local,  are  easily  ascertained ;  but 
these  rates  are  levied  on  the  basis  of  assessments  so  arbitrary  and  capricious 


10 


Report  of  Committee  on  Tax  Revision. 


that  the  burden  the}'  impose  on  the  citizen  seems  often  only  remotely  con- 
nected with  the  true  value  of  his  property. 

1.  Taxes  Unequal  Among  Individuals. 

Out  of  the  widespread  abuse  of  unequal  valuation  many  serious  evils 
arise.  The  most  obvious  is  that  some  land  owners  are  making  in  propor- 
tion to  their  ability  much  larger  payments  to  the  government  than  are 
others.  A  peculiarly  striking  feature  of  this  evil  is  that  the  chief  sufferers 
from  it  are  the  smaller  land  owners.  The  true  value  of  their  small  and 
little-improved  holdings  is  much  easier  to  ascertain  than  is  that  of  the 
rich  man's  large  estate.  The  poor  man,  furthermore,  usually  has  for  his 
protection  little  influence,  either  personal  or  political.  Finally,  the  poor 
man  is  ignorant  of  the  means  of  correcting  an  unfair  assessment  or  finds 
that  he  cannot  afford  it;  he  is  usually  ignorant  even  that  the  assessment 
is  unfair,  since  in  this  State  no  way  is  provided  for  him  to  find  it  out. 
He  therefore  pays  the  tax  the  government  demands  without  knowing  that 
in  proportion  to  the  value  of  his  land  he  is  sometimes  paying  five  or  ten 
times  as  much  as  his  rich  neighbor. 

This  becomes  clear  from  the  following  table,  which  shows  for  all  the 
counties  of  the  State  the  ratio  of  assessment  to  selling  price  on  large  and 
small  properties : 


VALUE  OF 

PROPERTY. 

Number 
of  gales 

Total 

Assessment 

Total 
Selling             Ratio 
Price 

Total    —  

16  362 

$    7  929  415 

$  23,666,730 

33.5 

Under    $500 

7  683 

718,187 

1,536  634 

46.7 

$500-$!,  000 

2  965 

776,978 

1,992,607 

39.0 

$1,000-$2,500    

3,219 

1,791,904 

4,924,387 

36.4 

$2,500-$5,  000   

1,574 

1,714,282 

5,241.605 

32.7 

$5,  000-S10,  000 

635 

1  285,946 

4.127,999 

31.1 

Over  $10  000 

286 

1  642,118 

5,843,498 

28.1 

The  following  table  shows  the  ratio  of  assessment  to  selling  price  on 
large  and  small  properties  for  all  the  cities  of  the  State : 


VALUE  OF  PROPERTY. 

Number 
of  sales 

Total 
Assessment 

Total 
Selling 
Price 

Ratio 

Total    _    _ 

4  431 

$    6  475  4  30 

$  12,215,456 

53.1 

Under  $500 

921 

143  974 

241,443 

59.8 

$500-$!,  000 

835 

335  129 

575  904 

58.2 

$1,000-$2,500   ._        .     . 

1,280 

1,173,217 

2,080,856 

56.5 

$2,500-$5,000 

856 

1  555,122 

2.776,501 

56.0 

$5  000  -$10  000 

361 

1  263,713 

2.383,685 

53.0 

Over   $10,000   .. 

178 

2,004,271 

4,157,067 

48.2 

It  is  evident  from  these  tables  that  the  average  small  country  tract  is 


Chapter  I — Taxation  of  Real  Estate.  11 

assessed  at  nearly  half  its  value,  while  the  average  country  estate  of  ten 
thousand  dollars  and  upward  is  assessed  at  little  more  than  a  fourth  of 
its  true  value.  The  average  owner  of  the  small  property  pays  in  taxes, 
therefore,  nearly  twice  as  much  in  proportion  to  its  worth  as  the  average 
owner  of  the  large  estate.  But  this  is  not  the  worst,  for  many  individuals 
are  above  and  many  below  the  average.  Thus,  for  every  dollar  paid  into 
the  State  treasury  by  the  owner  of  a  small  property  in  Brunswick,  the 
owners  of  large  properties  pay  in  Henrico  seventeen  cents,  in  Alleghany 
twelve  cents,  in  Campbell  nine  cents,  and  in  Franklin  four  cents. 

2.  Taxes  Are  Unequal  Among  Counties  and  Cities  of  State. 

A  second  evil,  equally  as  obvious  as  the  first,  but  entailing  less  direct 
hardship  on  the  individual,  lies  in  the  unequal  taxation  of  real  estate  in 
the  sub-divisions  of  the  State.  When  we  compare  counties  with  counties, 
cities  with  cities,  counties  with  cities,  or  sections  with  sections,  we  find 
inequalities  that  would  be  absurd  if  they  were  not  fraught  with  such 
serious  consequences.  It  is  true  that  inequalities  as  between  such  sub- 
divisions of  the  State  affect  only  the  State  tax,  which  is  seldom  more  and 
usually  less  than  a  third  as  high,  as  the  local  tax.  The  injustice,  there- 
fore, done  to  a  man  who  lives  in  a  county  where  all  assessments  are  high 
is  less  oppressive  than  it  would  be  if  he  lived  in  the  same  locality  with 
men  whose  assessments  are  lower  than  his  own.  The  ratios  of  assessment 
to  true  value  in  the  counties  and  cities  are  as  follows : 

Average  for  the  counties 33.5  per  cent. 

Accomac    29.0  Chesterfield    36.2 

Albemarle   30.1  Clarke    26.7 

Alexandria 31.5  Craig 16.5 

Alleghany    35.3  Culpeper   36.8 

Amelia    $3.2  Cumberland 48.2 

Amherst    34.3  Dickenson   22'.3 

Appomattox    35.7  Dinwiddie 41.7 

Augusta    32.3  Elizabeth  City 41.8 

Bath   35.6  Essex 33.7 

Bedford    33.1  Fairfax    37.9 

Bland    20.7  Fauquier   39.7 

Botetourt   36.5  Floyd 18.5 

Brunswick    57.9  Fluvanna   19.0 

Buchanan    33.9  Franklin    27.1 

Buckingham    48.2'  Frederick   26.1 

Campbell    21.9  Giles    25.2 

Caroline 50.8  Gloucester 33.8 

Carroll    12.5  Goochland 44.8 

Charles  City 31.5  Grayson 19.1 

Charlotte    50.0  Greene  .  40.9 


12 


Report  of  Committee  on  Tax  Revision. 


Greensville 35.0 

Halifax   38.9 

Hanover 50.6 

Henrico 28.0 

Henry    35.5 

Highland   43.5 

Isle  of  Wight 43.8 

James  City 46.4 

King  George 37.0 

King  and  Queen 37.7 

King  William 27.7 

Lancaster   44.6 

Lee    27.4 

Loudoun    42.0 

Louisa   37.1 

Lunenburg    29.5 

Madison   31.0 

Matthews   29.7 

Mecklenburg    31.5 

Middlesex    :  .  . .  24.9 

Montgomery   2'2.9 

Nansemond 39.5 

Nelson  .  .  .  .T.".' 26.7 

New  Kent 34.4 

Norfolk    42.3 

Northampton    23.7 

Northumberland   35.0 

Nottoway   43.3 

Orange   41.5 

Page   27.4 


Patrick    29.3 

Pittsylvania    32.6 

Powhatan    , 36.2 

Prince  Edward 44.7 

Prince  George  42.9 

Princess  Anne   28.3 

Prince  William 36.3 

Pulaski    23.1 

Rappahannock 33.9 

Richmond    50.3 

Roanoke   30.1 

Rockbridge 36.3 

Rockingham    39.7 

Russell 17.2 

Scott    -26.0 

Shenandoah 30.9 

Smyth   24.4 

Southampton 42.9 

Spotsylvania   41.7 

Stafford 25.2 

Surry 57.2 

Sussex   56.4 

Tazewell 21.2 

Warren 32.4 

Warwick    56.0 

Washington 29.2 

Westmoreland 50.2 

Wise 29.7 

Wythe    29.9 

York  .  32.0 


Average  for  the  cities ." 53.1  per  cent. 


Alexandria  51.8 

Bristol 47.2 

Buena  Vista 59.9 

Charlottesville   49.2 

Clifton  Forge 46.6 

Danville    63.8 

Fredericksburg  .  . 76.5 

Lynchburg 56.2 

Newport  News  70.2 

Norfolk   .  51.3 


Petersburg 62.9 

Portsmouth 46.7 

Radford 59.7 

Richmond   54.8 

Roanoke    48.8 

Staunton    47.2 

Suffolk   47.4 

Williamsburg    69.9 

Winchester    .  44.9 


The  gravest  result  of  these  sectional  inequalities  is  not  so  much  the 
weight  of  the  burden  unjustly  imposed  on  a  part  of  the  people,  but 
rather  the  encouragement  they  give  to  sectional  jealousies  and  suspicions. 


Chapter  I — Taxation  of  Real  Estate.  13 

So  long  as  they  continue,  it  is  inevitable  that  public  matters  of  import- 
mce  will  be  viewed  from  the  standpoint  of  the  locality  and  not  of  the 
State.  Bickerings  as  to  what  regions  really  provide  the  State's  revenue, 
)r  what  localities  receive  more  from  the  State  treasury  than  they  pay 
nto  it  will  continue  to  excite  rancor  and  bitterness.  Persistent  and  in- 
creasing effort  will  everywhere  be  made  to  reduce  assessments  still  further, 
^ith  the  result  that  all  taxation  will  be  thrown  into  confusion  and  our 
^hole  system  will  fall  into  disrepute  greater,  if  that  be  possible,  than  at 
3resent.  This  is  not  the  place  to  dwell  on  the  part  that  has  been  played 
n  the  past  by  sectional  and  local  jealousies  in  retarding  the  development 
)f  this  State,  but  we  confidently  assert  that  they  can  never  be  healed  so 
ong  as  the  present  unequal  taxes  are  collected  by  the  State  government, 
[n  this  connection,  we  accuse  no  section,  we  exonerate  none.  It  would 
DC  invidious  to  specify  the  measures  for  the  public  good  that  have  been 
lefeated  or  hampered  by  sectional  influences.  We  believe  that  members 
)f  the  General  Assembly,  to  which  our  report  will  -be  addressed,  will 
-eadily  appreciate  the  gravity  of  this  evil  without  concrete  examples  of 
t  being  required  from  us. 

3.  There  Is  No  Basis  for  the  Adjustment  of  Other  Taxes. 

Yet  another  harmful  result  of  our  present  unequal  valuations  we  find 
n  the  fact  that  when  the  real  estate  tax  is  uncertain  and  unjust,  there 
exists  no  sure  basis  for  our  system,  no  standard,  no  measure  by  means  of 
vhich  other  taxes  may  be  fairly  adjusted.  Not  a  few  of  our  citizens  be- 
ieve  that  the  railroads  and  other  corporations  are  not  contributing  their 
Droper  share  to  the  State's  revenue.  But  what  is  a  "proper  share?" 
Obviously,  it  is  one  that  bears  upon  the  corporations  with  the  same 
veight  that  the  land  tax  bears  upon  the  owners  of  land.  So  long,  then, 
is  this  tax  is  altogether  uncertain,  there  is  no  way  of  making  a  fair 
idjustment  of  the  tax  on  corporations.  Again,  many  merchants  in  Vir- 
ginia are  convinced  that  their  taxes  are  higher  than  is  right,  meaning 
;ha£  they  are  higher  than  those  of  the  farmers  and  owners  of  city  real 
estate.  Whether  in  this  the  merchants  are  mistaken  or  not,  they  can 
lardly  be  blamed  for  at  least  cherishing  suspicion,  so  long  as  the  real 
estate  tax  is  in  its  present  chaotic  condition.  In  short,  the  owners  of 
>ach  class  of  property  feel  justified  in  evading  their  taxes  to  as  great 
extent  as  is  possible  without  incurring  a  legal  penalty,  because  they 
lave  no  means  of  knowing  whether  the  demands  of  the  government  are 
ust  and  proportional  to  its  demands  on  the  owners  of  other  classes.  Con- 
cealment, evasion,  and  all  other  evil  practices  possible  to  taxpayers  will 
)revail  as  long  as  the  fundamental  tax  in  our  system  remains  as  it  is. 

Explanation  of  the  Failure  of  Our  Assessment  Methods. 

The  Constitution  requires  that  land  and  improvements  shall  be  as- 


14  Report  of  Committee  on  Tax  Revision. 

sessed  at  their  "fair  market  value/'  and  to  ascertain  this  once  in  five 
years  assessors  are  appointed  by  the  judges  of  the  circuit  and  corpora- 
tion courts.  We  consider  the  interval  between  assessments  to  be  .too 
long,  but  it  is  fixed  by  the  Constitution,  and  reform  in  this  particular 
must,  therefore,  be  postponed.  Our  first  need  is  to  have  the  work  prop- 
erly done  at  the  regular  quinquennial  periods. 

Many  things  combine  to  cause  the  low  and  unequal  assessments  that 
disgrace  our  revenue  system. 

1.  In  the  first  place,  the  work  of  valuing  real  estate  is  difficult  and 
hard  to  learn.     Land  is  not  bought  and  sold  with  the  frequency  of  other 
commodities,  nor  is  it  so  uniform  in  quality  that  the  price  paid  for  one 
tract  or  parcel  exactly  measures  the  value  of  others.     Real  estate  value  is 
the  result  of  a  multitude  of  influences,  the  most  potent  of  which  are 
often  the  most  obscure.     To  estimate  correctly  the  force  of  these  in- 
fluences requires  an  accuracy  and  extent  of  knowledge,  a  length  of  expe- 
rience, and  a  sanity  of  judgment  that  no  man  is  born  with,  and  few 
acquire.    Men  that  possess  this  rare  equipment  are  apt  to  be  the  busiest 
men  in  the  communities  where  they  reside.     Our  judges  hesitate  to  call 
them  away  from  their  important  pursuits;  and  even  when  the  call  is 
made,  it  does  not  always  succeed.     We  wish  by  no  means  to  reflect  on 
the  general  ability  and  character  of  our  assessors.     But  we  do  mean  that 
too  often  they  are  woefully  lacking  in  experience  and  training  for  the 
technical  and  difficult  work  they  are  set  to  do;  and  they  themselves  are 
usually  the  most  ready  to  admit  it. 

2.  In  the  second  place,  the  importance  of  the  work  is  not  appreciated. 
The  remuneration  offered  is  little  more  than  the  wages  paid  for  the  most 
unskilled  labor,  and  it  very  often  fails  to  cover  the  actual  costs  that  are 
incurred.     An  appointment,  far  from  being  an  honor,  is  rather  a  bur- 
densome imposition.     Performance  of  duty  is  a  thankless  task,  displeas- 
ing to  friends  and  satisfying  to  no  one.     There  is  no  other  kind  of  public 
service  in  this   State  more  distasteful,  worse  paid,  and  less  respected. 
Few  men  that  have  once  attempted  it  can  ever  be  induced  to  serve  again. 
In  consequence,  such  experience  as  is  gained  at  one  quinquennial  assess- 
ment is  of  no  use  whatever  at  the  next. 

3.  Even  if  our  assessors  possessed  a  high  degree  of  experience  and  fit- 
ness, the  lack  of  any  co-operation  among  them  and  of  supervision  by  any 
co-ordinating  authority  would  be  bound  to  result  in  inequalities.    The  as- 
sessments are  made  by  several  hundred  men  acting  singly  or  in  small 
groups,  each  without  knowledge  of  the  ideas  and  standards  of  the  others. 
How  could  it  be  possible  for  their  standards  to  agree?    If  a  dozen  well- 
informed  men  are  asked  to  value,  without  consultation  among  them- 
selves, a  single  piece  of  property,  their  estimates. will  be  far  apart.     How 
much  wider  must  their  judgments  diverge  when  they  deal  with  many 
properties  subject  to  very  different  influences !    Indeed,  the  estimates  of 
a  single  man,  when  left  to  himself,  will  vary  with  his  moods.     No  means 
is  now  provided  for  holding  the  army  of  assessors  to  a  common  standard. 
Each  man  goes  his  own  way  and  applies  his  own  theories  and  interpreta- 


Chapter  I — Taxation  of  Real  Estate.  15 

tion  of  the  law.  Under  such  conditions  it  is  obvious  that  inequalities 
are  unavoidable  If  assessments  are  to  be  uniform  throughout  the  State, 
it  is  necessary  that  they  be  made  by  as  few  men  as  possible,  and  that 
these  men  work  by  standards  and  measurements  that  are  the  same  for  all. 

4.  In  this  connection  we  call  attention  to  the  fact  that  outside  of  a 
few  of  OUT  cities,  the  assessors  are  furnished  with  practically  none  of 
the  aids,  tools  and  equipment  that  are  necessary  to  standardize  their 
work  and  ascertain  true  values.     Just  what  aids  we  consider  desirable 
for  this  purpose  will  be  stated  later.     The  lack  of  them  reduces  the  re- 
ports of  the  assessors  to  something  little  better  than  moderately  intelli- 
gent guesswork.     Absolutely  free  scope  is  given  for  caprice,  whim,  favorit- 
ism or  malice. 

5.  With  a  contemptibly  low  remuneration  and  no  prospect  of  per- 
sonal, advancement,  with  very  little  training,  experience  or  equipment, 
with  no  supervision,  no  encouragement,  no  support,  the   assessors  are 
subjected  to  terrific  pressure   from  the  most  powerful   influences  that 
exist      Every  owner  of  real  estate,  whether  individual,  partnership,  or 
corporation,  has  a  pecuniary  interest  in  keeping  down  his  own  assess- 
ment for  taxation,  and  their  combined  influence  upon  the  assessor  is 
well-nigh  irresistible.     In  yielding  to  this  pressure  the  assessor  risks 
nothing  but  his  own  self-respect,  and  even  that  he  is  generally  able  to 
defend  by  his  knowledge  of  palliating  circumstances.    In  other  States 
there   have   been   sensational   exposures   of   collusion   between   property 
owners  and  assessors,  by  which  they  shared  between  them  large  sums 
saved  out  of  taxes  by  low  assessments.     We  have  found  no  traces  of  such 
graft  in  Virginia.     We  believe  that  it  does  not  exist  among  us.     It  is 
not  for  money  that  the  assessors  so  frequently  fail  to  conform  to  the 
law.     Each  assessor  is  convinced  that  all  others  will  endeavor  to  favor 
their   own   localities.     He  regards  it  as   a  higher  duty  to   protect  his 
neighbors  against  unequal  taxation  than  to  enforce  a  law  upon  them 
which   is   almost  universally   ignored   elsewhere.     In   this   he  wins   the 
whole-hearted   approval   of   his   neighbors,    and   nobody   but   the    State 
Auditor  is  found  to  blame  him. 

But  the  trouble  is  that  when  once  he  leaves  the  standard  fixed  by 
the  law,  and  makes  assessments  that  he  knows  to  be  below  the  "fair 
market  value,"  all  sorts  of  inequalities  creep  into  his  work;  and  thus  it 
happens  that  there  are  few  localities  that  do  not  present  glaring  instances 
of  unequal  assessments  among  taxpayers.  It  is  a  curious  thing  that 
men  whose  integrity  in  other  respects  is  above  reproach,  yet  in  any 
matter  relating  to  taxation  will  resort  to  subterfuges,  evasions  and  mental 
reservations  that  they  would  abhor  in  their  ordinary  business  transac- 
tions. And  what  recourse  have  those  citizens  whose  assessments,  though 
lower  than  the  market  value,  yet  are  much  higher  than  those  of  their 
neighbors  ?  Since  we  have  no  agency  for  equalization  in  this  State,  they 
must  take  their  grievances  to  court.  And  how  can  a  man  come  into 
court  when  his  only  plea  is  that  in  a  theft  from  the  government  he  got 
a  smaller  "rake-off"  than  others?  "The  glaring  truth  is,"  as  the  Minne- 


16  Report  of  Committee  on  Tax  Revision. 

sota  Tax  Commission  says,  "that  the  individual  taxpayer  is  at  the  mercy 
of  the  local  assessor,  who  is  the  most  important  official  in  the  whole 
scheme  of  ad  valorem  taxation." 

Necessary  Reforms  in  Methods  of  Assessment. 

Such  is  substantially  the  explanation  of  the  chaos  that  now  prevails 
in  our  taxation  of  real  estate.  No  citizen  of  the  Commonwealth  can 
fail  to  see  that  the  only  possible  remedy  for  the  injustice  and  hardship 
now  prevailing  lies  in  correcting  our  unequal  assessments.  To  that  end 
we  recommend,  and  have  drawn  bills  to  carry  out,  the  following  meas- 
ures: 

1.  The  commissioners  of  the  revenue  should  serve  as  assessors  not 
only   of  personal  property,  but  also   of   real   estate.     There   has   never 
been  any  sufficient  reason  for  having  a  different  set  of  men  to  assess 
these  different  classes  of  property.     On  the  contrary,  it  is   eminently 
fitting  that  the  same  man  should  assess  both,   since  it  will  obviously 
promote  uniformity  of  assessment  on  the  two  classes.     Moreover,  it  is 
very   important  that  real   estate   should  be  assessed  by  men  who   are 
familiar  with  values,  and  who  have  experience  in  appraising  property, 
and    the    knowledge    and    experience    of    every    commissioner    of    the 
revenue    should   be    made  available  for   this    work.      No    one    is    in    a 
position  to  learn  more  about  the  value  of  real  estate  in  a  community 
than  the  man  who   makes  the  annual   assessment   of   personalty,   and 
whose  thought  and  observation  year  after  year  are  directed  chiefly  to 
the  ascertainment  of  values  and  the  forces  that  fix  them.     In  fact,  our 
commissioners  are  even  now  required  to  keep  the  land  books  up  to  date 
and  to  assess  all  buildings  and  improvements  that  are  constructed  be- 
tween the   quinquennial  assessments.     They   are   not  free,  however,  to 
alter  real  estate  assessments  nor  even  to  assess  new  improvements  in 
accordance  with  the  knowledge  they  have  of  their  real  value,  because  they 
feel  bound  to  assess  them  at  a  rate  in  keeping  with  that  previously  fixed 
on  similar  properties  in  the  community  by  the  quinquennial  land  as- 
eessors. 

2.  There  should  not  be  more  than  one  commissioner  of  the  revenue 
in  any  county  or  city.     The  number  of  commissioners  is  fixed  not  by 
the  Constitution,  but  by  act  of  the  General  Assembly,  with  the  result 
that  while  all  the  cities  and  many  of  the  counties  have  only  one,  there 
are  other  counties  that  have  four  or  five  commissioners,  and  some  have 
as  many  as  six.     In  the  latter  counties  the  number  seems  to  have  been 
fixed  with  no  regard  to  the  amount  of  work  to  be  done,  and  merely  with 
a  view  to  providing  places  for  as  many  men  as  possible. 

The  advantage  in  limiting  the  number  is  two-fold.  In  the  first 
place,  there  should  be  no  more  men  assessing  property  than  is  absolutely 
necessary;  for  the  greater  the  number  of  assessors,  the  greater  the  diffi- 
culty in  maintaining  uniformity  and  equality.  Different  men,  acting  in- 
dependently, are  not  going  to  assess  property  in  the  same  way  except  by 


Chapter  I — Taxation  of  Real  Estate.  17 


accident  In  the  second  place,  the  more  the  work  is  divided  up  the 
more  the  office  of  commissioner  loses  both  in  pay  and  in  dignity.  When 
his  district  is  small,  the  commissioner  cannot  afford  to  give  much  atten- 
tion to  his  office.  His  chief  interest  and  concern  are  bound  to  remain 
with  his  private  affairs,  and  he  will  perform  his  public  duties  in  as 
hurried  and  perfunctory  a  way  as  is  compatible  with  the  merest  decency, 
constantly  subject  to  such  frequent  interruptions  and  distractions  as. 
will  make  thoroughness  and  uniformity  well-nigh  impossible. 

3.  The  law  should  require  that  the  assessors  of  real  estate  be  fur- 
nished with  certain  materials  that  are  not  now  available.  We  have 
drawn  no  bill  to  this  effect,  because  it  would  be  impossible  to  furnish 
the  materials  before  the  assessment,  which  begins  next  February,  but 
we  wish  to  call  attention  to  them  in  the  hope  that  the  General  Assembly 
may  provide  for  them  before  the  assessment  of  1920. 

(a)  Transcript  of  Transfers. 

It  is  impossible  for  any  man,  no  matter  how  intelligent,  by  means 
solely  of  his  general  knowledge,  to  assess  accurately  and  uniformly  all 
the  tracts,  parcels,  lots  and  buildings  in  a  county  or  city.  At  present, 
however,  aside  from  such  suggestions  and  information — or  misinforma- 
tion— as  they  may  get  from  their  neighbors,  our  assessors  have  at  hand 
no  other  aid  than  a  list  of  deeds  of  conveyance.  In  this  list  are  given 
the  date  of  the  deed,  when  admitted  to  record,  the  names  of  grantor  and 
grantee,  the  quantity  of  land  conveyed,  a  description  for  the  identifica- 
tion of  it,  and  "the  specified  value  thereof."  The  list  is  prepared  an- 
nually and  furnished  by  the  clerk  of  the  court  to  the  commissioners  of 
the  revenue,  and  until  this  year  a  copy  was  also  to  be  sent  to  the  Auditor 
of  Public  Accounts.  Unfortunately,  at  its  last  regular  session,  the 
General  Assembly  repealed  the  requirement  of  a  copy  for  the  Auditor. 
We  emphatically  recommend  that  this  action  be  reconsidered.  These  lists 
should  be  available  at  some  central  office  from  every  county  and  city  in 
the  Commonwealth.  ^To  other  single  guide  is  so  useful  in  an  attempt 
to  ascertain  the  true  value  of  real  estate. 

Hitherto  the  land  assessors  do  not  appear  to  have  made  much  use  of 
these  lists  of  sales.  This  is  due  in  part  to  the  fact  that  in  very  many 
deeds  the  "specified  value"  is  not  the  true  value  at  which  the  sale  was 
made.  We  recommend,  therefore,  the  passage  of  an  act  requiring  the 
grantor  to  recite  in  full  in  the  deed  of  conveyance  the  true  consideration 
received.  Such  a  requirement  has  been  enforced  with  success  in  other 
States,  and  we  do  not  see  how  it  can  injure  any  legitimate  interest. 
Even  when  the  true  consideration  is  known,  the  assessor  should  discard 
from  his  list  all  transactions  between  near  relatives,  such  as  involve  an 
exchange  of  properties,  all  deeds  given  in  full  or  part  satisfaction  of  an 
encumbrance  on  the  property,  conveyances  to  charitable  or  religious  in- 
stitutions, to  public  service  corporations  and  to  the  government,  and 
deeds  in  fulfillment  of  a  contract  more  than  four  vears  old.  The  lists 

2-TO 


Report  of  Committee  on  Tax  Revision. 


thus  purged,  while  by  no  means  an  infallible  guide,  will  become  an  im- 
portant aid  in  determining  the  value  of  real  estate. 

(b)   Tax  Maps. 

In  addition  to  the  list  described  above,  the  assessor  of  real  estate 
should  be  furnished  wi.th  a  tax  map  of  his  county  or  city.  Such  maps, 
like  others,  show  lakes,  mountains,  water  courses,  public  roads,  railways, 
etc.,  but  the  peculiar  feature  of  them  is  that  they  show  the  boundaries 
of  every  separate  tract,  lot  or  parcel  of  land  and  the  location  of  buildings 
on  it.  Every  tract  is  numbered,  and  the  map  should  be  drawn  to  a 
scale  sufficient  to  show  the  owner's  name,  the  acreage  of  the  tract  or  the 
number  of  feet  in  a  city  lot,  and  the  assessed  value  at  different  dates. 
The  map  should  be  accompanied  by  a  card  index;  that  is,  on  cards 
numbered  to  correspond  with  the  tracts  or  lots  on  the  map  should  be 
recorded  all  data  having  a  bearing  on  their  value.  Thus  the  card  would 
contain  the  price,  if  it  can  be  ascertained,  and  the  dates  at  which  the 
land  has  changed  hands,  the  name  and  address  of  the  present  owner,  a 
description  of  the  land,  the  whole  number  of  acres  and  the  number  as 
nearly  as  may  be  estimated  of  each  class  of  land  contained  in  it,  the 
number,  character  and  value  of  buildings,  etc. 

To  the  assessor  the  usefulness  of  such  maps  and  data  is  too  obvious 
to  require  comment.  They  would  likewise  be  useful  to  the  taxpayer. 
They  would  make  it  easy  to  compare  assessments  on  different  properties, 
and  thus  inequalities  would  be  readily  detected,  whereas  from  our  present 
rolls,  with  their  alphabetical  arrangement,  detection  is  very  difficult. 
They  would  also  make  it  possible  to  check  up  accurately  the  work  of  the 
assessors,  thus  insuring  the  putting  on  the  rolls  of  such  parcels  as  had 
been  accidently  omitted,  and  of  all  tracts  at  their  full  acreage. 

The  only  objection  that  can  be  made  to  tax  maps  is  their  cost.  This 
is  sometimes  serious,  but  not  prohibitive.  It  was  estimated  by  the  recent 
Kentucky  Tax  Commission  that  they  could  be  prepared  for  that  State 
at  a  cost  of  one  dollar  per  hundred  acres.  For  the  State  of  New  York, 
with  49,170  square  miles  and  a  much  more  minute  subdivision  of  land 
than  in  Virginia,  an  eminent  authority  has  put  the  cost  of  a  complete. 
series  of  tax  maps  at  $25,000.  The  United  States  topographical  maps  by 
photographic  enlargement  and  the  drawing  in  of  property  boundaries,  etc,. 
can  be  admirably  adapted  to  the  purpose  of  tax  maps  at  an  almost  insig- 
nificant expense.  Some  of  our  cities  are  already  using  tax  maps,  and 
their  scale  could  be  increased  and  their  accuracy  checked  at  little  ex- 
pense. For  a  number  of  counties  not  yet  covered  by  the  United  States 
topographic  survey,  we  have  very  excellent  maps  that  would  serve  equally 
as  well.  We  mention  as  examples  Hotchkiss'  map  of  Augusta  and  Massie's 
map  of  Albemarle. 

Since  it  is  impossible  to  provide  tax  maps  for  the  next  assessment, 
we  present  no  bill  relating  to  them,  but  if  a  Tax  Commission 
should  be  created  in  any  form,  one  of  its  first  duties  should  be  the  prepa- 


Chapter  I — Taxation  of  Real  Estate.  19 

ration  of  specifications  and  details,  together  with  an  estimate  of  costs 
for  presentation  to  the  general  assembly. 

4.  The  duties  discharged  by  the  present  official  known  as  a  land 
assessor  should  be  modified  so  as  to  make  them  similar  in  the  main  to 
the  duties  of  the  assessor  of  mineral  lands.  Like  the  latter  official,  he 
should  be  associated  with  the  commissioner  of  the  revenue,  and  they 
should  co-operate  in  procuring  all  information  necessary  to  a  proper  and 
just  assessment.  They  should  be  required  to  view  all  the  properties  to 
be  assessed,  to  confer  together  and  to  make  the  assessment  jointly.  In 
the  event  of  a  disagreement  the  question  at  issue  should  be  referred  to  a 
local  board  of  review  of  assessments,  for  the  creation  of  which  we  have 
prepared  a  bill.  There  should  be  no  more  than  one  or  two  land  as- 
sessors in  any  county  or  city,  and  they  should  be  selected  with  a  view 
to  their  special  fitness  for  the  work,  and  should  be  given  respectable 
remuneration. 

Local  Equalization  of  Assessments. 

We  turn  to  a  consideration  of  the  review  and  equalization  of  assess- 
ments. Virginia  appears  to  differ  from  nearly  all  other  States  in  making 
no  pretense  of  equalizing.  But  the  difference  is  in  appearance  only, 
for  so  far  as  we  have  been  able  to  discover  no  effective  agency  has  ever 
yet  been  devised  in  any  State  for  equalizing  assessments  after  the  as- 
sessor's rolls  have  once  been  made  out.  The  only  remedy  for  bad  work 
in  the  first  place  is  to  do  it  all  over  again.  If  an  experience  lasting 
through  generations,  and  reaching  the  same  result  under  the  widely 
differing  conditions  of  many  States,  teaches  anything,  it  is  the  futility 
of  relying  on  a  board  of  equalization  to  straighten  out  a  crooked  assess- 
ment roll.  How  could  it  be  otherwise?  Properly  to  readjust  the  values 
fixed  by  the  assessors  requires  a  careful  and  prolonged  investigation, 
facility  in  handling  and  interpreting  records  and  other  materials,  dis- 
cretion and  good  judgment  in  accepting  statements — in  short,  a  painful 
retracing  by  men  mostly  untrained  for  it  of  all  the  steps  the  assessors 
were  required  to  take.  The  impossibility  of  this  is  so  obvious  that  no 
sensible  board  ever  attempts  it.  Such  boards  meet  sometimes  for  a  few 
hours,  sometimes  for  a  day  or  two,  very  seldom  for  a  longer  time.  They 
pass  on  a  few  complaints  that  aggrieved  individuals  thrust  upon  them, 
sign  up  the  books  and  adjourn.  Commissioner  Woodbury,  of  $Tew  York, 
said  in  1911,  that  in  his  State  the  county  boards  were  mostly  a  failure, 
because  it  required  the  spending  of  time,  money  and  labor  to  learn  the 
facts.  He  added  that  personal  and  political  influences  still  further  de- 
moralized their  work.  The  Minnesota  Tax  Commission  said  in  1912'  that 
examination  of  the  books  in  any  county  auditor's  office  showed  that  only 
in  a  very  few  isolated  cases  were  any  changes  made  by  the  boards  of 
equalization.  Eeports  from  other  States  are  almost  unanimous  to  the 
same  effect.  In  Virginia  the  law  requires  the  circuit  and  corpora- 
tion judges  to  charge  the  grand  juries  to  examine  the  books  of  assessment 


20  Report  of  Committee  on  Tax  Revision. 

returned  by  the  commissioners  of  the  revenue.  The  purpose  of  this  law 
was  only  incidentally  to  equalize  assessments  and  mainly  to  prevent  the 
escape  of  property  from  taxation.  It  is  notorious  that  it  was  a  dead 
letter  until  the  present  State  Auditor  two  years  ago  made  special  efforts 
to  have  it  enforced.  In  spite  of  his  urgency,  some  judges  failed  to 
charge  the  juries  at  all;  many  grand  juries  "retired  into  their  room,  and 
after  some  time  (  ! ! )  returned  into  court  and  reported  that  they  had  care- 
fully examined  the  books  and  found  no  errors  therein";  while  in  some 
localities  they  made  great  sacrifice  of  time  and  labor,  and  though  they 
did  not  pretend  to  a  general  equalization,  they  made  large  additions  to 
the  assessments.  The  Richmond  grand  jury,  after  months  of  investiga- 
tion, that  added  nearly  seven  million  dollars  to  the  city's  assessments,  said : 
"We  are  aware  that  our  work  has  not  begun  to  cover  all  of  the  inadequate 
returns,  but  it  was  impossible  for  business  men  to  give  the  time  required 
for  so  great  a  work,  unless  they  entirely  neglected  their  own  affairs." 
In  the  words  we  italicize  lies  a  sufficient  explanation  of  the  weakness  of 
attempts  at  equalization. 

We  admit  our  inability  to  solve  a  problem  that  has  puzzled  experts 
and  theorists  so  long.  It  appears  to  us  that  the  only  trustworthy  safe- 
guard of  the  public  welfare  is  to  have  assessments  made  right  in  the 
first  place.  It  does  seem,  however,  a  monstrous  departure  from  demo- 
cratic ideals  to  subject  the  owners  of  property  to  the  discretion  of  two 
or  three  men,  and  give  them  no  recourse  except  a  costly  and  tedious  appeal 
to  the  courts.  We  believe,  therefore,  although  we  despair  of  general 
equalization,  that  some  simple  and  inexpensive  way  should  be  provided 
for  presenting  grievances  and  getting  relief  in  aggravated  cases  of  in- 
justice. To  that  end  we  recommend  for  the  adjustment  of  inequalities 
among  individuals  of  the  same  locality  that  there  be  created  for  each 
county  and  city  a  board  of  review  of  assessments  of  three  members; 
that  the  members  be  appointed  by  the  State  Tax  Commission,  or  if  there 
be  no  such  Commission  created,  by  the  circuit  or  corporation  judge; 
that  after  each  quinquennial  assessment  the  board  be  required  to  remain 
in  session  for  a  reasonable  time,  and  that  notice  of  the  time  of  its  meet- 
ing be  properly  published  We  further  recommend  that  as  soon  as  the 
work  of  assessment  be  completed,  the  assessment  books  be  made  accessible 
to  the  taxpayers,  showing  the  assessment  on  each  property  in  the  locality, 
that  the  owners  of  real  estate  be  notified  to  that  effect,  and  that  a  reason- 
able time  be  allowed  for  the  examination  of  the  books  before  the  meeting 
of  the  board  of  review. 

6.  Finally,  if  the  Commonwealth,  continues  to  tax  real  estate  for 
State  purposes,  we  recommend  the  creation  of  a 

State  Tax  Commission. 

The  organization  and  functions  of  such  a  commission  are  described 
elsewhere.  We  need  not,  therefore,  discuss  here  its  duties  in  connection 
with  the  assessment  of  real  estate. 


Chapter  I — Taxation  of  Real  Estate.  21 

We  are  convinced  that  the  injustice  now  arising  from  unequal  assess- 
ments cannot  be  ended  except  by  some  agency  to  support  and  guide 
assessors  and  commissioners  of  the  revenue  in  their  work.  It  is  in- 
tolerable that  a  small  landowner  in  Brunswick  should  be  taxed  six  times 
as  heavily  as  a  large  landowner  in  Henrico.  Something  must  be  done 
to  assist  the  local  officials  to  do  their  work  properly,  and  relieve  them 
from  the  terrific  pressure  that  now  hampers  their  efficiency.  Such  aid 
and  relief  can  come  only  from  a  State  Tax  Commission. 


22  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  amend  and  re-enact  section  437  of  the  Code  of  Virginia,  relating  to 
assessors  of  real  estate,  as  amended  and  re-enacted  by  an  act  ap- 
proved December  10,  1903;  to  amend  and  re-enact  section  441  of 
the  Code  of  Virginia,  relating  to  the  assessment  of  lands  and  im- 
provements, as  amended  and  re-enacted  by  an  act  approved  Decem- 
ber 10,  1903;  and  to  amend  and  re-enact  section  448  of  the  Code  of 
Virginia,  relating  to  commissioners  of  the  revenue,  as  amended  and 
re-enacted  by  an  act  approved  February  25,  1892,  as  amended  and 
re-enacted  by  an  act  approved  January  22,  1894,  as  amended  and 
re-enacted  by  an  act  approved  April  2'0,  1903. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  section 
four  hundred  and  thirty-seven  of  the  Code  of  Virginia,  relating  to  as- 
sessors of  real  estate,  as  amended  and  re-enacted  by  an  act  approved  De- 
cember tenth,  nineteen  hundred  and  three;  section  four  hundred  and 
forty-one  of  the  Code  of  Virginia,  relating  to  the  assessment  of  lands  and 
improvements,  as  amended  and  re-enacted  by  an  act  approved  December 
tenth,  nineteen  hundred  and  three,  and  section  four  hundred  and 
forty-eight  of  the  Code  of  Virginia,  relating  to  commissioners  of  the 
revenue,  as  amended  and  re-enacted  by  an  act  approved  February  twenty- 
fifth,  eighteen  hundred  and  ninety-two,  as  amended  and  re-enacted  by 
an  act  approved  January  twenty-second,  eighteen  hundred  and  ninety- 
four,  as  amended  and  re-enacted  by  an  act  approved  April  twentieth, 
nineteen  hundred  and  three,  be  amended  and  re-enacted  so  as  to  read  as 
follows : 

Sec.  437.  Assessors  of  real  estate;  appointment. — It  shall  be  the  duty 
of  the  Virginia  tax  commission,  on  or  before  the  first  day  of  January, 
nineteen  hundred  and  twenty,  and  every  fifth  year  thereafter,  to  ap- 
point from  among  ten  freeholders  to  be  recommended  by  the  judge  of 
the  circuit,  corporation  or  hustings  court  of  the  county  or  city  wherein 
they  are  to  serve,  proper  persons  to  co-operate  with  the  commissioner  of 
the  revenue  in  assessing  the  value  of  all  lands,  lots  and  the  improvements 
thereon,  within  their  respective  counties  and  cities,  the  assessment  of 
which  is  not  otherwise  specifically  provided  for  by  law;  and  for  each 
county  and  city  the  number  of  such  assessors  of  real  estate  shall  be  either 
one  or  two,  as  the  Virginia  tax  commission  may  deem  most  expedient, 
except  for  cities  of  the  first  class,  where  the  said  tax  commission  may 
appoint  three.  And  before  any  person  thus  appointed  shall  enter  upon 
the  duties  of  his  office,  he  shall  take  the  oath  and  execute  the  bond  pre- 
scribed by  law. 

Sec.  441.  Assessment  of  lands  and  improvements. — Immediately  after 
qualifying  the  assessors  of  real  estate  shall  proceed,  together  with  the 
commissioner  of  the  revenue  of  their  respective  counties  or  cities,  to 
examine  diligently  all  the  lands  and  lots  assessable  by  them,  with  the 


Chapter  I — Taxation  of  Real  Estate.  23 

improvements  thereon.  The  said  assessors  and  commissioners  of  the 
revenue  shall  confer  together  about  the  assessment  of  such  lands,,  lots  and 
improvements,  and  shall  co-operate  in  procuring  all  information  neces- 
sary or  proper  to  a  just  assessment.  All  lands,  lots  and  improvements 
shall  be  assessed  at  their  fair  market  value,  which  value  shall  be  taken 
to  be  the  price  that  the  property  under  consideration  would  bring  at  a 
fair  voluntary  sale,  made  after  reasonable  advertisement,  where  the  seller 
is  under  no.  compulsion  to  sell  and  the  buyer  under  no  compulsion  to  buy. 
The  assessment  shall  be  made  jointly  by  the  assessors  of  real  estate  and 
the  commissioners  of  the  revenue,  and  in  ascertaining  the  fair  market 
value  they  shall  make,  for  purposes  of  uniformity,  such  classification  of 
lands,  lots  and  improvements,  and  shall  follow  such  written  or  printed 
instructions  in  respect  to  their  duties  as  to  the  tax  commission  shall 
seem  judicious. 

In  case  of  disagreement  between  or  among  the  assessors  of  real  estate 
and  the  commissioners  of  the  revenue  the  question  at  issue  shall  be  re- 
ferred to  the  board  of  review  of  assessments. 

The  several  commissioners  of  the  revenue  shall,  on  or  before  the  first 
day  of  September,  in  the  year  nineteen  hundred  and  fifteen,  and  every 
fifth  year  theseafter,  certify  the  assessments  made  as  above  and  equalized 
by  the  board  of  review  of  assessments,  of  lands,  lots  arid  improvements 
in  their  respective  counties  or  cities  to  the  Virginia  tax  commission  in 
such  form  and  detail  as  the  said  commission  shall  prescribe. 

And  if,  upon  examination  of  such  report  of  assessments,  it  shall 
appear  to  the  tax  commission  that  the  assessments  in  any  .county  or 
city  are  above  or  below  fair  market  values  in  such  locality,  then  and  in 
that  .case  the  said  commission  may  apply  in  the  name  of  the  Common- 
wealth to  the  circuit  or  corporation  court  of  the  county  or  city  to  order 
a  complete  or  partial  reassessment,  and  if  upon  the  evidence  produced 
the  court  shall  be  of  opinion  that  the  said  property  in  such  county  or 
city  has  .been  assessed  above  or  below  its  fair  market  value,  it  shall  have 
power  to  order  a  reassessment  of  said  property  in  said  county  or  city,  or 
any  district  or  ward  therein. 

Sec.  448.  Commissioners  of  the  revenue ;  number ;  election ;  assist- 
ants.— Upon  the  expiration  of  the  terms  of  the  commissioners  of  the 
revenue  now  in  office  there  shall  be  one  commissioner  of  the  revenue 
.  for  each  county  and  one  for  each  city  in  the  Commonwealth,  to  be  elected 
by  the  qualified  voters  of  the  county  or  city  wherein  he  is  to  serve. 

Each  commissioner  of  the  revenue  shall  appoint  such  assistants  and 
other  employes  as  may  from  time  to  time  be  approved  by  the  Virginia 
tax  commission;  and  he  shall  fix  the  term  of  service^  the  duties  and  the 
compensation  of  such  assistants  and  employes,  with  the  advice  and  con- 
sent of  the  said  commission. 


24  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  amend  and  re-enact  sections  459,  460  and  461  of  the  Code  of  Virginia, 
as  heretofore  amended. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sections 
four  hundred  and  fifty-nine,  four  hundred  and  sixty  and  four  hundred 
and  sixty-one  of  the  Code  of  Virginia,  be  amended  and  re-enacted  so  as 
to  read  as  follows : 

Sec.  459.  The  clerk  of  every  circuit  or  corporation  court  shall  annu- 
ally, before  the  fifteenth  of  January,  make  out  a  list  of  all  deeds  for  the 
partition  and  conveyance  of  land,  other  than  deeds  of  trust  and  mortgages, 
made  to  secure  the  payment  of  debts,  which  have  been  admitted  to  record 
in  the  clerk's  office  of  such  court  within  the  year  ending  on  the  thirty-first 
day  of  December  next  preceding,  which  list  shall  state  the  date  of  the 
deed,  when  admitted  to  record,  the  name  of  grantor  and  grantee,  whether 
the  grantee  is  white  or  colored,  the  quantity  of  land  conveyed,  the  specified 
value  thereof,  and  a  description  of  the  same.  This  list  shall,  on  or  before 
the  fifteenth  day  of  January,  be  delivered  by  the  clerk  to  the  commissioner 
for  his  county  or  corporation ;  or,  if  there  be  more  commissioners  than  one, 
the  clerk  shall  deliver  to  each  a  copy,  or  at  least  so  much  thereof  as  relates 
to  lands  within  his  district,  and  the  clerk  shall  also  forward  a  copy  of 
said  list  to  the  auditor  of  public  accounts;  and  the  said  clerk  shall  also 
make  out,  on  a  separate  sheet,  a  list  of  all  deeds  of  trust  and  mortgage 
on  land,  as  well  as  deeds  of  trust  on  personal  property  made  to  secure  the 
pajnnent  of  debts,  which  have  been  admitted  to  record  in  the  clerk's  office 
of  such  court  within  the  year  ending  on  the  thirty-first  day  of  January 
next  preceding,  and  such  list  shall  sta,te  the  date  of  the  deed  of  trust  or 
mortgage,  when  admitted  to  record,  the  name  of  the  grantor,  the  name  of 
the  creditors,  and  the  amount  of  the  debt  to  each  creditor  secured  by  the 
deed  of  trust  or  to  the  mortgagee  in  the  mortgage,  and  the  amount  of  debt 
secured  thereby  and  the  property  conveyed  in  such  deed  of  trust  or  mort- 
gage. Copies  of  this  last-mentioned  list  shall  be  furnished  by  said  clerk 
on  or  before  the  fifteenth  day  of  February  to  commissioners  of  the  revenue 
for  his  county  or  corporation,  and  not  to  the  auditor  of  public  accounts, 
the  object  of  said  last-mentioned  list  being  simply  to  give  to  the  commis- 
sioners of  the  revenue  the  amount  of  debts  secured,  so  that  the  same  may 
be  listed  for  taxation  in  the  manner  provided  by  law. 

Sec.  460.  The  clerk  of  every  circuit  or  corporation  court  shall  make 
out  a  list  of  all  judgments  and  decrees  for  the  partition  or  recovery  of  lands 
which  have  been  rendered,  and  of  all  lands  devised  by  will,  which  have 
been  recorded  in  such  court  within  the  year  ending  on  the  thirty-first  of 
December  next  preceding,  which  list  shall  state  the  date  of  the  decree,  the 
land  which  is  the  subject  of  the  partition,  and  between  whom  and  in  what 
proportion  it  is  divided,  and  the  date  of  the  will  containing  the  devise, 
when  admitted  to  record,  the  names  of  the  devisor  and  devisee,  and  the 


Chapter  I — Taxation  of  Real  Estate. 


description  of  the  land  devised,  and  such  clerk  shall  deliver  said  list  to 
the  commissioner  for  his  county  or  corporation  on  or  before  the  fifteenth 
day  of  January  in  each  year. 

Sec.  461.  If  any  clerk  fail  to  perform  the  duties  required  of  him 
in  either  of  the  two  preceding  sections  he  shall  forfeit  to  the  Common- 
wealth the  sum  of  one  hundred  dollars,  and  it  shall  be  the  duty  of  the 
judge  of  each  circuit  and  corporation  court  wherein  or  before  whose  clerk 
deeds  are  admitted  to  record  or  wills  are  probated,  to  ascertain  at  the 
term  of  his  court  next  succeeding  the  fifteenth  of  February  of  each  year 
whether  the  clerk  of  such  court  has  performed  the  said  duties,  and  if  it 
shall  appear  that  the  said  clerk  has  failed  to  perform  the  said  duties,  in 
the  manner  and  within  the  time  prescribed,  the  judge  shall  issue  a  rule 
against  said  clerk,  returnable  within  five  days,  to  show  cause,  if  any,  why 
judgment  shall  not  be  entered  against  him  for  the  penalty  herein  imposed. 


26  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  require  the  actual  consideration  to  be  stated  in  all  transfers  of  prop- 
erty by  deed  or  other  conveyance,  or  to  be  furnished  to  the  clerk  of 
the  court,  before  any  such  deed  or  other  conveyance  is  admitted  to 
record. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  in  order 
to  secure  an  accurate  statement  of  the  actual  consideration  in  all  trans- 
fers of  property  in  this  State  by  deed  or  other  conveyance,  no  clerk  of  a 
court  of  record  in  this  State  shall  receive  for  record  any  deed  or  other 
conveyance  of  property,  wherein  the  actual  consideration  is  not  stated, 
unless  the  same  be  accompanied  by  a  written  statement  made  by  the 
grantee,  or  his  agent,  sworn  to  before  a  notary  public,  or  some  person 
authorized  to  administer  oaths,  setting  forth  the  actual  valuable  considera- 
tion in  such  deed  or  other  conveyance,  which  statement  shall,  at  the  request 
of  the  grantee,  or  his  agent,  be  kept  by  such  clerk  as  a  sealed  document, 
subject  only  to  examination  by  the  commissioner  of  the  revenue  or  other 
tax  officials. 

2.  The  collection  of  current  revenue  being  affected,  an  emergency  is 
hereby  declared  to  exist,  and  this  act  shall  be  in  force  from  its  passage. 


Chapter  I— Taxation  of  Real  Estate,  27 


A  BILL 

To  create  county  and  city  boards  of  review  of  assessments ;  to  define  their 
powers  and  duties ;  to  fix  their  compensation.,  and  to  provide  for  the 
payment  thereof. 

Sec.  1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  on 
or  before  the  first  day  of  June  in  every  year  the  Virginia  tax  commission 
shall  appoint  three  persons  from  a  list  of  ten  intelligent,,  discreet  free- 
holders furnished  by  the  judge  of  the  circuit,  corporation  or  hustings 
court  of  each  county  or  city,  to  compose  a  board  of  review  of  assessments 
for  said  county  or  city;  and  before  entering  on  the  duties  of  their  office 
such  appointees  shall  take  the  oath  of  office  prescribed  by  law  for  county 
and  city  officers.  And  if  it  shall  appear  to  the  Virginia  tax  commission 
that  any  person  thus  appointed  cannot,  or  for  any  reason  will  not,  perform 
the  duties  required  of  him  by  law,  the  said  tax  commission  shall  appoint 
another  in  his  place  from  the  said  list. 

The  said  board  of  review  shall  organize  by  electing  one  of  their  num- 
ber as  chairman.  The  clerk  of  the  circuit,  corporation  or  hustings  court 
shall  be  ex-officio  clerk  of  said  board  of  review,  and  shall  attend  all  meet- 
ings and  keep  a  record  of  the  proceedings  thereof  in  a  separate  book  to 
be  provided  for  that  purpose,  which  shall  be  preserved  and  kept  on  file  in 
his  office  as  clerk  of  such  court. 

The  said  board  of  review  shall  hold  sessions  at  such  dates  and  of  such 
length  as  the  Virginia  tax  commission  shall  prescribe;  provided,  that  its 
sessions  shall  be  for  not  less  than  two  (2)  days  nor  more  than  fourteen 
(14)  days  in  any  one  year,  and  reasonable  notice  of  the  date  of  its  ses- 
sions shall  be  published  in  advance. 

The  compensation  of  a  member  of  the  board  of  review  of  assessments 
shall  be  four  dollars  ($4.00)  per  day  for  each  day  that  he  shall  be  neces- 
sarily employed,  to  be  paid  one-half  by  the  Commonwealth  and  one-half 
by  the  county  or  city  where  he  serves.  The  accounts  for  such  compensa- 
tion shall  be  made  out  and  verified  by  affidavit  of  the  member  before  the 
clerk  of  the  circuit,  corporation  or  hustings  court  in  which  shall  be  stated 
that  the  time  for  which  said  per  diem  is  claimed  was  necessarily  employed ; 
and  when  said  accounts  shall  be  so  made  out  and  verified  they  shall' be 
paid  out  of  the  State  and  county  or  city  treasury,  in  equal  proportions,  out 
of  any  money  in  such  treasury  not  otherwise  appropriated. 

Sec.  2.  Duties  of  Board  of  Review  of  Assessments. — Each  board  of 
review  of  assessments  shall  have  power,  and  it  shall  be  its  duty : 

(1)  To  direct  the  commissioner  of  the  revenue  "to  enter  in  the  assess- 
ment roll  any  property,  whether  real  or  personal,  which  is  found  to  have 
been  omitted. 

(2)  To  direct  the  commissioner  of  the  revenue  to  correct  any  entries 
found  to  be  erroneous,  and  to  cancel  duplicate  assessments. 

(3)  To  hear  and  determine  the  complaints  of  all  taxpayers  who  appear 


28  Report  of  Committee  on  Tax  Revision. 

and  claim  to  be  aggrieved  by  unequal  or  unjust  assessment,  and  direct 
such  corrections  on  the  assessment  books  with  reference  thereto  as  may 
be  determined.  In  all  such  hearings  the  officers  who  made  the  assess- 
ments shall  be  present  and  testify;  provided,,  that  no  taxpayer  who  has 
failed,  refused  or  neglected,  without  cause  shown,  to  file  with  the  commis- 
sioner of  the  revenue  a  sworn  statement  of  his  property  shall  be  entitled 
to  be  heard,  nor  shall  his  assessment  be  reduced. 

(4)  To  keep  minutes  of  its  meetings,  and  to  enter  therein  all  orders 
made,  and  to  transmit  promptly  a  copy  of  such  orders  to  the  commissioner 
of  the  revenue,  who  shall  make  the  corrections  on  the  assessment  rolls 
as  directed  thereby ;  provided,  however,  that  no  order  made  by  said  board 
shall  prevent  the  taxpayer  from  applying  to  the  proper  court  for  correc- 
tion of  any  erroneous  assessment  in  the  manner  now  provided  by  law. 

(5)  In  the  year  of  a  quinquennial  assessment  of  real  estate  such  board 
of  review  shall  devote  special  attention  to  grievances  and  complaints  with 
regard  to  the  assessment  of  real  estate ;  in  all  other  years  it  shall  make  no 
changes  in  real  estate  assessments,  save  and  except  of  lands,  lots  or  im- 
provements not  previously  assessed. 


Chapter  I— Assessment  of  Minerals  and  Mineral  Lands.  29 

ASSESSMENT  OF  MINERALS  AND  MINERAL  LANDS. 

The  Present  Law. 

Section  one  hundred  and  seventy-two  of  the  Constitution  of  nineteeu 
hundred  and  two  directed  that  "the  general  assembly  shall  provide  for 
the  special  and  separate  assessment  of  all  coal  and  other  mineral  land." 

Complying  therewith,  the  general  assembly  passed  an  act,  section  four 
hundred  and  thirty-seven  (a)  of  the  Code,  amended  several  times,  now 
acts  nineteen  hundred  and  twelve,  page  one  hundred  and  sixty-two,  where- 
under  this  assessment  instead  of  being  made  once  in  five  years,  as  on 
other  land,  is  annually  "made  jointly  by  the  commissioner  of  the  revenue 
and  special  assessor  employed  by  the  corporation  commission."  The  local 
commissioners  are  required  early  in  each  year  to  certify  a  copy  of  the 
mineral  assessments  so  made  with  taxes  extended  to  the  State  Corporation 
Commission  for  its  review  and  judgment  as  to  the  justice  of  such  assess- 
ment. The  Commissioner  has  the  further  right  to  appeal  to  the  courts  for 
an  increase  in  any  mineral  assessment;  and  no  owner  aggrieved  by  the 
assessment  made  against  him  can  appeal  to  the  courts  for  a  correction 
without  giving  this  State  Commission  thirty  days'  notice.  Furthermore, 
the  Commission  is  given  "power  to  summon  and  compel  the  attendance 
and  testimony  of  witnesses,  and  the  giving  of  information  and  the  pro- 
duction of  such  maps,  books  and  papers  as  it  may  deem  necessary"  before 
it  or  its  expert  assessor. 

Therefore,  as  to  this  class  of  property,  we  already  have  very  full  par- 
ticipation in  and  control  over  local  assessments  by  a  State  commission  in 
the  interest  of  equalization  and  the  Commonwealth's  revenue.  This 
method  has  resulted  in  a  much  higher  assessment  of  mineral  lands  in 
proportion  to  value  than  that  placed  upon  agricultural  lands  in  the  same 
counties;  but  it  has  also  tended  strongly  to  an  equalization  of  assessments 
of  mineral  lands  in  the  several  counties. 

In  1906,  the  956,155  acres  of  mineral  land  then  assessed  in  the  Com- 
monwealth bore  an  average  assessment  of  $8.13  per  acre.  In  1911, 
2,4:38,887  acres  were  assessed  at  $11.51  per  acre,  an  increase  of  42  per 
cent,  in  the  valuation.  In  1906,  the  27,061,617  acres  of  other  lands 
bore  an  average  assessment  of  $4.89  per  acre.  In  1911,  23,724,016 
acres  were  assessed  at  $6.26  per  acre,  an  increase  of  28  per  cent,  in 
the  valuation.  Furthermore,'  the  greater  part  of  the  land  transferred  to 
the  mineral  land  books  during  this  period  was  cheap  land. 

Suggested  Changes  in  Method  of  Assessment. 

Many  citizens,  including  some  coal  land  owners,  urged  upon  us  methods 
other  than  the  ad  valorem  property  tax  now  in  vogue.  They  particularly 
commended  a  tonnage,  or  annual  output,  tax  for  deriving  revenue  from 
minerals  and  mineral  lands.  We  have  carefully  considered  their  argu- 


30  Report  of  Committee  on  Tax  Revision. 

merits  as  well  as  all  available  reports  from  other  States  and  other  discus- 
sions of  the  subject.  In  addition  to  the  inequality  as  among  mineral  land 
owners  and  other  defects  involved  in  such  system,  we  are  forced  to  the 
conclusion  that  neither  the  Commonwealth  nor  the  mineral  counties  can 
now  afford  to  submit  to  a  change  from  the  ad  valorem  property  tax.  Both 
would  undoubtedly  lose  large  amounts  of  stable  revenue,  as  these  lands 
are  now  assessed  higher  than  any  other  in  proportion  to  their  productive 
value. 

In  Virginia  the  maximum  royalty  or  sale  value  of  her  chief  mineral 
product,  bituminous  coal,  in  the  ground  ready  for  or  under  development, 
together  with  the  timber  on  the  land  to  develop  it,  is  10  cents  per  ton. 
A  thick  vein  acre  will  produce  5,000  tons.  For  the  year  1913,  by 
charging  the  entire  output  of  the  Commonwealth  shown  in  the  report 
of  the  Commissioner  of  Labor  against  the  2,190  acres  under  development 
in  the  six  coal  counties,  the  average  acre  produced  3,323  tons,  worth  to  the 
land  owner  $332.30.  The  Auditor's  report  for  the  same  year  shows  an 
average  assessment  of  the  coal  alone  in  this  2,190  acres  at  $483.12  per 
acre,  or  145  per  cent,  of  its  value,  in  addition  to  an  assessment  for 
improvements,  fixtures  and  machinery,  and  yet  another  assessment  at 
$9.40  per  acre  for  the  land. 

Only  one  acre  in  592  assessed  as  mineral  land  in  these  six  counties 
is  under  development.  The  average  assessment  of  the  mineral  land  not 
under  development  therein  is  $10.10  per  acre.  These  lands  have  little 
or  no  value  other  than  their  mineral  value  and  usually  produce  no  other 
income.  Many  unfavorable  conditions  work  against  the  development  and 
competitive  sale  of  Virginia  coal.  In  the  view  of  the  most  optimistic, 
under  the  most  favorable  conditions,  not  one-fifth  of  it  can  be  mined  in 
the  next  fifty  years.  The  average  period  will  be  very  much  longer. 
The  average  State  and  local  tax  rate  borne  by  these  lands  is  near  two 
dollars  on  the  one  hundred  dollars.  The  owners  of  this  non-producing 
land,  in  addition  to  the  interest  on  the  investment  and  other  costs, 
pay  an  annual  average  tax  of  20  cents  per  acre  until  the  coal  is  mined, 
and  then,  when  developed,  the  only  year  of  its  real  production,  pay  on 
an  assessment  of  nearly  one  and  one-half  times  its  total  productive  value. 

Therefore,  under  our  general  property  tax  system,  the  mineral  when 
produced  pays  on  an  assessment  greater  than  its  value  and  the  undeveloped 
land  out  of  all  proportion  to  its  productive  value.  Any  other  system  should 
obviously  take  no  more  tax  from  the  mineral,  and  would  necessarily  give 
up  all  or  nearly  all  of  the  tax  upon  undeveloped  land.  Nevertheless,  the 
counties  and  even  the  Commonwealth  cannot  forego  some  assessment 
against  these  lands. 

The  following  tables,  compiled  from  the  Auditor's  Report,  show  the 
assessment  of  mineral  lands  for  the  year  1913 : 


ASSESSMENT  OF  MINERAL  LANDS. 

LANDS  UNDER  DEVELOPMENT  AND  LANDS  NOT  UNDER  DEVELOPMENT. 


COUNTIES. 

Acres 

VALUE    OF 

Total 
Value. 

Land 

Minerals 

Imp.,  fixtures 
and    machin- 
ery 

Albemarle 

10,686 
159 
125,167 
1,314 
7,749 
1,625 
61,981 
90,964 
10,105 
60,924 
98,703 
677,960 
7,242 
5,292 
32,338 
1,112 
6,922 
77,339 
1,681 
7 
224,060 
541 
28 
5,736 
3,609 
1,889 
590 
7,856 
44,846 
9,308 
5,908 
4,661 
10,780 
2,263 
1,780 
2,913 
44,044 
79 
3,282 
914 
830 
24,394 
13,505 
617 
10,067 
9,676 
3,426 
7,359 
660 
61,259 
1,392 
4,933 
44,771 
45,287 
43,795 
44,948 
24,134 
21,996 
4,124 
1,125 
37 
100 
61,644 
606 
4,100 
244,602 
51,387 
25 

2,385,156 

$          78,348 
12,775 
292,258 
4,630 
31,928 
7,075 
69,378 
293,740 
30,110 
66,036 
154,797 
1,792,235 
•'7,820 
35,597 
62,229 
7,910 
118,365 
170,608 
7,780 
2,000 
651,107 
12,845 
340 
35,570 
9,559 
3,875 
2,414 
5,860 
70,684 
76,307 
8,180 
8,974 
74,168 
28,860 
5,970 
46,160 
137,320 
550 
20,880 
2,020 
5,732 
58,207 
58,870 
2,402 
12,175 
14,871 
15,374 
44,657 
4,297 
81,335 
1,300 
33,370 
57,028 
49,505 
114,791 
112,569 
23,028 
92,322 
13,250 
3,608 
250 
1,250 
136,239 
4,270 
35,015 
1,398,816 
195,560 
12,500 

$    7,049,853 

$         11,442 
23,085 
281,187 
2,550 
10,605 
1,110 
59,342 
86,420 
22,210 
58,964 
213,098 
2,261,458 
171,939 
32,535 
117,656 
570 
27,875 
240,282 
2,020 
2,800 
2,420,610 
10,335 
7,290 
5,215 
7,481 
2,460 
1,215 
3,080 
48,635 
14,941 
6,642 
10,806 
23,531 
21,740 
6,265 
21,260 
399,635 
550 
156,520 
500 
126,818 
80,857 
69,305 
848 
7,380 
12,809 
28,260 
6,325 
9,831 
74,595 
420 
23,290 
41,247 
40,405 
620,289 
64,526 
8,783 
295,496 
23,060 
2,382 
1,150 
1,000 
1,538,476 
9,350 
171,635 
2,752,109 
185,910 
100 

$  12,992,515 

$       111,250 
600 
554,918 
12,480 
8,947 
975 
654,820 
451,000 
36,520 

$          201,040 
36,460 
1,128,363 
19,660 
51,480 
9,160 
783,540 
831,160 
88,840 
125,000 
611,980 
4,053,693 
230,390 
100,860 
193,800 
10,380 
191,960 
502,640 
13,700 
6,000 
3,149,630 
35,280 
9,780 
52,960 
24,400 
6,960 
4,760 
26,840 
134,120 
107,410 
15,180 
21,300 
178,422 
72,800 
14,078 
74,920 
984,790 
4,600 
303,180 
7,620 
188,320 
1.33  ,8HJ 
675,270 
3,920 
49,420 
32,580 
83,980 
65,940 
44,560 
329,040 
1,720 
89,620 
137,860 
117,560 
1,010,480 
215,987 
81,120 
609,260 
42,260 
11,340 
2,800 
3,000 
1,906,  F50 
30,840 
271,170 
6,501,500 
581,520 
80,001 

$    27,476,239 

Alexandria 

Alleghany 

Bath 

Bedford 

Bland                              

Botetourt                     --  

244,085 

Buchanan                         -  

30,631 
32,728 
13,915 
1,900 
45,720 
91,750 
3,900 
1,200 
77,913 
12.100 
2,150 
12,175 
7,360 
623 
1,131 
17,900 
14,801 
16,162 
358 
1,520 
80,723 
22,200 
2,443 
7,500 
447,835 
3,500 
130,780 
5,100 
55,770 
44,822 
247,095 
670 
29,865 
4,900 
40,346 
14,958 
30,432 
173,110 

Craig                           --    

Dinwiddie 

Fairfax     -      

Fauquier    --    -  - 

Floyd 

Fluvanna  --  --  --  

Franklin 

Frederick 

Giles                                

Goochland                   --  

Halifax                            -    — 

Isle  of  Wight 

Lee            -    - 

Madison 

Mecklenburg  :  

Nelson 

Patrick 

Prince  William 

Pulaski 

Rappahannock   

Roanoke               --    --    

32,960 
39,585 
27,650 
275,400 
38,892 
49,309 
221,442 
5,950 
5,350 
1,400 
750 
231  ,835 
17,220 
64,520 
2,350,575 
200,050 
67,400 

$    7,433,871 

Rockbridge    -        

Rockingham 

Russell  

Scott 

Shenandoah 

Smyth                    _  _ 

Spotsylvania    _  -_  

Stafford               

Surry                  _    

Sussex    _                           _- 

Tazewell                         

Washington   __  

Wise                   - 

Wythe   _            _    

Bristol  city 

Total   

Report  of  Committee  on  Tax  Revision. 


533888 

in'co"      rH't-Tw" 


IM 
MAGH' 


siis 


<N  N  CO  0<l  N  lO 


IS    3 


li 


«    03  £ 

XOQ  5 

^  «M  °° 

—.  O  ^ 

l|  I 

PQ 


QQ 

Q 


<4    W 

IS 


C 

1 

02 


VE 
'Y 


S   ^ 
lllS 


p 

i  1 

PH 

O 

g 


•**  C3  CO  O 


SSSS8 

J*  0-*  ^ 

^ 


in  t~ 


g 

°i  5 
«»  i 

•SHH       DQ 
O 

3?  S 
Si  S 


Chapter  I — Assessment  of  Minerals  and  Mineral  Lands.          33 


in  eo  e$  ift  co  oo 


CO 


&«« 

O82 

8& 


eooooeor-i  o 


o^ 


S  § 

IS 

S  g 

a  a 


£ 


IBSSg 


CO  C4  (M  1Q 


»i  ••*  eo  co  o  ^ 


»  0 


H 

M 

1 

° 

5 

1 

•s 

«3 

c 

« 

I 

^ 

2 

c 
a 

5 

^ 

X 

t 

/5 

1 

§: 

cc 

* 

> 

g 

S 

g 

34  Report  of  Committee  on  Tax  Revision. 


Suggested  Changes  in  Law. 

1.  If,  under  a  system  of  segregation,  the  Commonwealth  releases  to 
the  counties  and  cities  real  estate  for  purposes  of  taxation,  the  office  of 
State  mineral  assessor  should  not  be  abolished  because  of  the  importance 
*of  maintaining  equality  among  all  the  owners  of  this  class  of  property. 
If  a  State  Tax  Commission  is  established,  he  should  be  transferred  to 
-its  jurisdiction. 

2.  Section  437-a  of  the  Code,  governing  the  whole  subject,  should 
%e  amended  so  as  to  define  land  to  be  assessed  as  "under  development7' 
H»  be  "such  land  as  will  be  under  development  during  the  current  year," 
in  accordance  with  court  construction.     In  one  county,  at  least,  in  1913, 
land  was  assessed  as  "under  development"  which  could  not  be  mined  for 
several  years. 

This  section  should  also  be  amended  so  as  to  define  "mineral  land"  as 
"land  containing  a  workable  seam  or  vein  of  mineral  of  commercial  value." 
Thousands  of  acres  of  land  are  assessed  as  mineral  land  which  carry  HO 
mineral  of  any  present  or  future  workable  or  commercial  value.  It  should 
not  be  taxed  on  alleged  or  suspected  but  non-existent  value. 

We  have  prepared  amendments  covering  these  changes. 


Chapter  I — Assessment  of  Minerals  and  Mineral  Lands.          35 


A  BILL 

To  amend  and  re-enact  section  437-a,  of  chapter  23,  of  the  Code  of  Vir- 
ginia, relating  to  assessments  of  mineral  lands  and  the  improvements, 
fixtures  and  machinery  thereon,  as  enacted  by  an  act  to  amend  and 
re-enact  chapter  23  of  the  Code  of  Virginia,  in  relation  to  the  assess- 
ment of  lands  and  lots,  approved  December  10,  1903,  as  amended 
and  re-enacted  by  an  act  approved  March  17,  1906,  as  amended  and 
re-enacted  by  an  act  approved  March  12,  1908,  as  amended  and  re- 
enacted  by  an  act  approved  February  19,  1910,  as  amended  and  re- 
enacted  by  an  act  approved  March  7,  1912. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  section  four 
hundred  and  thirty-seven  (a)  of  chapter  twenty-three  of  the  Code  of 
Virginia,  relating  to  assessments  of  mineral  lands  and  the  improvements, 
fixtures  and  machinery  thereon,  as  enacted  by  an  act  to  amend  and  re- 
enact  chapter  twenty-three  of  the  Code  of  Virginia,  in  relation  to  the 
assessment  of  lands  and  lots,  approved  December  tenth,  nineteen  hundred 
and  three,  as  amended  and  re-enacted  by  an  act  approved  March  seven- 
teenth, nineteen  hundred  and  six,  as  amended  and  re-enacted  by  an  act 
approved  March  twelfth,  nineteen  hundred  and  eight,  as  amended  and 
re-enacted  by  an  act  approved  February  nineteenth,  nineteen  hundred  and 
ten,  as  amended  and  re-enacted  by  an  act  approved  March  seventh,  nine- 
teen hundred  and  twelve,  be  amended  and  re-enacted  so  as  to  read  as 
follows : 

Sec.  437-a.  The  several  commissioners  of  the  revenue  of  this  State 
shall,  on  or  before  the  fifteenth  day  of  May  of  each  year,  specially  and 
separately  assess  at  the  fair  market  value  all  mineral  lands  and  the 
improvements,  fixtures  and  machinery  thereon,  and  shall  enter  the  same 
on  the  land  books  of  their  respective  districts  separately  from  other  lands 
charged  thereon,  and  shall  extend  the  taxes  upon  said  lands,  improve- 
ments, fixtures  and  machinery  at  the  rate  fixed  by  law  upon  tangible 
property. 

The  commissioner,  in  assessing  mineral  lands,  which  are  hereby  de- 
fined to  be  lands  containing  a  workable  seam  or  vein  of  mineral  of  com- 
mercial value,  shall  set  forth  upon  the  land  book  the  area  and  the  fair 
market  value  thereof,  first,  of  such  portion  of  each  tract  of  mineral  land 
as  is  improved  and  under  development,  or  such  portion  thereof  as  will  be 
under  development  during  the  then  current  tax  year;  second,  the  fair 
market  value  of  the  improvements,  fixtures  and  machinery  upon  each 
tract;  and,  third,  the  area  and  the  fair  market  value  of  such  portion  of 
each  tract  of  such  mineral  land  as  shall  not  be  under  development  or  will 
not  be  under  development  during  the  then  current  tax  year. 

If  the  surface  of  the  land  is  held  by  one  person,  and  the  coal,  iron  and 
other  minerals,  mineral  waters,  gas  or  oil  under  the  surface  be  held  by 
another  person,  the  estate  therein  of  each  and  the  relative  fair  market 


36  Report  of  Committee  on  Tax  Revision. 

value  of  their  respective  interest,  shall  be  ascertained  by  the  commissioner 
or  assessor.  If  the  surface  of  the  land  and  the  coal,  iron  and  other  min- 
erals, mineral  water,  gas  or  oil  under  the  surface  be  owned  by  the  same 
person,  the  commissioner  shall  ascertain  the  fair  market  value  of  the  land, 
exclusive  of  said  coal,  iron,  other  minerals,  mineral  waters,  gas  or  oils; 
and  also  ascertain  in  addition  the  fair  market  value  of  the  said  coal,  iron, 
other  minerals,  mineral  waters,  gas  and  oils,  and  shall  assess  each  at  such 
ascertained  values,  stating  separately,  however,  in  every  case  the  value 
of  the  surface  of  the  land  and  the  value  of  the  said  coal,  iron,  other  min- 
erals, mineral  waters,  gas  and  oils  under  the  surface. 

The  several  commissioners  shall,  on  or  before  the  fifteenth  day  of  May 
in  every  year,  certify  a  copy  of  such  assessments  made  in  their  respective 
districts  of  mineral  lands  and  mineral  rights  as  aforesaid  to  the 

,  with  the  name  and  postoffice  address  of  each  person,  firm,  or 
corporation,  in  whose  name  any  such  lands  or  interest  therein  shall  have 
been  assessed  upon  the  land  book  of  his  district  with  the  amount  of  tax 
extended  thereon.  Upon  receiving  the  copy  aforesaid,  the 
shall  examine  into  the  justice  of  any  such  assessments,  and  if  it  shall 
appear  to  the  that  any  tract  of  land,  or  any  part  thereof, 

or  the  improvements,  fixtures  or  machinery  thereon,  or  any  right  or  inter- 
est in  the  same,  or  any  part  thereof,  has  not  been  assessed  at  its  fair 
market  value,  the  said  shall  direct  the  attorney  for  the 

Commonwealth  for  the  county  or  corporation  wherein  such  land  or  interest 
therein  so  assessed  is  situated,  or  any  other  special  attorney  it  may  desig- 
nate, to  apply  in  the  name  of  the  Commonwealth  to  the  circuit  court  of 
the  county  or  corporation  court  of  a  city  to  have  said  assessment  cor- 
rected, which  court  shall  have  jurisdiction  for  the  purpose. 

Any  person  feeling  himself  aggrieved  by  the  assessment  of  his  lands 
or  interest  therein  hereunder  may,  at  any  time  prior  to  the  first  day  of 
February  next  succeeding,  apply  to  the  circuit  court  of  the  county  or  cor- 
poration court  of  the  city  in  which  the  land  lies  to  have  said  assessment 
corrected.  Said  application  may  be  made  by  filing  a  petition  in  the 
clerk's  office  of  said  court,  setting  forth  the  lands  or  mineral  rights  on 
which  the  assessment  complained  of  is  made,  praying  that  said  assess- 
ment may  be  corrected ;  and  the  said  court,  at  its  next  term  after  filing  of 
said  petition  shall  hear  the  said  cause  and  enter  such  judgment  as  to  it 
shall  seem  proper,  according  to  the  provisions  of  sections  five  hundred  and 
sixty-eight  and  five  hundred  and  seventy-one  of  the  Code  of  Virginia  as 
amended  and  re-enacted  by  an  act  approved  December  twelfth,  nineteen 
hundred  and  three. 

At  the  hearing  of  any  such  motion  the  Commonwealth  may  move  the 
assessment  be  raised,  either  on  the  items  embraced  in  the  motion  or  on 
any  other  item 'not  embraced  in  the  motion,  either  on  the  land  embraced 
in  the  motion  or  any  other  mineral  lands  in  the  name  of  the  complainant 
in  the  county  or  city  in  which  the  motion  is  made.  The  Commonwealth's 
attorney  and  the  commissioner  of  thje  revenue,  who  made  the  assessment, 
shall  be  made  defendants  to  such  petition  or  motion,  and  written  notice 


Chapter  I — Assessment  of  Minerals  and  Mineral  Lands.          37 

shall  be  served  upon  them  at  least  ten  days  prior  to  the  day  fixed  for  the 
hearing  of  such  motion  or  petition.  Continuances  of  the  hearing  of  said 
motions  or  petitions  may  be  granted  for  good  cause.  The  proceedings, 
upon  any  such  application,  shall  conform  to  section  four  hundred  and 
forty-four  of  the  Code  of  Virginia,  and  all  amendments  thereof,  except 
so  far  as  in  conflict  herewith ;  provided,  that  the  Commonwealth  and  the 
person  whose  property  is  assessed  shall  have  the  right  to  appeal  from 
the  decision  of  said  circuit  or  corporation  court  to  the  supreme  court  of 
appeals.  The  is  authorized  to  employ  for  the  pur- 

pose of  this  act,  at  the  time  in  each  year  when  assessments  of  lands  are 
being  made,  such  person,  or  persons,  as  may  be  necessary  to  make,  with 
the  commissioner  of  the  revenue,  such  inquiry  into  the  value,  and  such 
examination  of  the  property  and  interests  required  by  this  act  to  be 
separately  assessed,  and  of  the  improvements,  fixtures  and  machinery 
thereon,  as  it  may  deem  necessary.  Such  person  or  persons,  who  shall  be 
duly  sworn  to  faithfully  and  honestly  perform  their  duties,  and  the  re- 
spective commissioners  of  the  revenue  shall  confer  together  about  such 
assessments  and  co-operate  in  procuring  all  information  necessary  or 
proper  to  a  just  assessment  of  such  property,  improvements,  fixtures  and 
machinery,  and  shall  carefully  examine  all  sales  of  mineral  lands  and 
mining  rights  recorded  in  the  clerk's  office  of  the  several  counties  and 
municipalities  in  their  respective  assessment  districts,  and  shall  report 
the  information  obtained  to  the  .  The  assessment 

shall  be  made  jointly  by  the  commissioner  and  the  special  assessor  em- 
ployed by  the  ;  and  in  case  of  disagreement  be- 
tween the  two,  the  question  at  issue  shall  be  referred  to  the  circuit  or 
corporation  court  wherein  the  land  is  situated,  either  in  term  time  or 
vacation,  after  not  less  than  ten  days'  notice  from  the  mineral  assessor 
to  the  commissioner  of  the  revenue  or  from  the  commissioner  of  the 
revenue  to  the  mineral  assessor,  and  the  clerk  of  the  court  shall  summon 
such  witnesses  as  required  by  the  commissioner  of  the  revenue,  the  min- 
eral land  assessor,  attorney  for  the  Commonwealth  or  the  owner  of  the 
property  in  question,  and  the  shall  direct  the  Com- 
monwealth's attorney,'  or  any  special  attorney  they  may  employ,  to  repre- 
sent the  interests  of  the  Commonwealth  at  any  such  hearing.  After  hear- 
ing the  evidence  the  court  will  enter  such  order  as  it  deems  proper,  but 
nothing  contained  herein  shall  prevent  the  or  the 
owner  from  making  a  motion  to  correct  the  assessment  after  the  land 
books  are  made  up,  and  to  appeal  to  the  court  of  appeals  as  herein  pro- 
vided. 

The  person,  or  persons,  employed  by  the  under 

this  act  may  be  required  to  give  aid  to  the  Commonwealth's  attorney,  or 
any  special  attorney  that  may  be  employed  by  the  said 
in  prosecuting  or  defending  any  application  for  a  correction  of  any  assess- 
ment under  this  act  by  obtaining  and  giving  information  of  facts,  names 
of  witnesses  or  otherwise.    Power  is  hereby  given  the 
to  summon  and  compel  the  attendance  and  testimony  of  witnesses  and 


38  Report  of  Committee  on  Tax  Revision. 

the  giving  of  information  and  the  production  of  such  maps,  books  and 
papers  as  it  may  deem  necessary,  either  before  it  or  before  the  assessor 
or  commissioner  of  the  revenue,  and  the  person  or  persons  employed  by 
it  when  considering  the  assessment  of  any  property  hereunder. 

In  case  any  person  be  aggrieved  at  the  assessment  made  by  the  com- 
missioner and  the  special  assessor,  and  take  an  appeal  in  the  manner  here- 
inbefore authorized,  such  appeal  shall  not  be  heard  until  thirty  days' 
notice  thereof  be  served  by  the  clerk  of  the  court  in  which  the  appeal  shall 
be  heard,  on  the 

2.  In  view  of  the  fact  that  the  time  for  the  assessment  of  property 
for  taxation  for  the  year  nineteen  hundred  and  fifteen  is  near  at  hand,  an 
emergency  is  hereby  declared  to  exist,  and  this  act  shall  be  in  force  from 
the  date  of  its  passage. 


Chapter  I — Delinquent  Taxes.  39 


DELINQUENT  TAXES. 

Our  inquiry  has  lead  us  to  believe  that  there  is  a  strong  demand 
throughout  the  Commonwealth  for  the  abolition  of  the  present  system 
permitting  the  filing  of  applications  for  the  purchase  of  delinquent  lands 
theretofore  sold  to  the  Commonwealth,  by  the  payment  of  the  taxes  due 
thereon  and  certain  costs  and  charges,  commonly  known  as  the  "land- 
grabber  system/'  and  the  substitution  therefor  of  a  system  of  sales  of  de- 
linquent lands  to  satisfy  the  lien  of  the  Commonwealth,  and  of  the  coun- 
ties and  cities,  for  taxes,  approximating  the  system  provided  for  subject- 
ing lands  to  sale  to  satisfy  other  liens  whereby  the  residue  of  the  purchase 
money,  if  any,  is  paid  to  the  owner  of  the  property.  We  believe  this  de- 
mand is  just,  and  we  have  prepared  a  bill  to  be  submitted  to  the  General 
Assembly,  which,  if  adopted,  will  substitute  the  latter  system  for  the 
former. 

There  is,  however,  a  very  large  sum  due  the  Commonwealth  and  the 
sub-divisions  thereof,  for  delinquent  taxes -and  levies  due  for  the  several 
years  from  January  1,  1876,  before  which  date  taxes  are  barred  by 
present  law,  to  the  present  time.  The  taxes  on  these  lands  should  be 
collected  and  the  land  itself,  and  the  owners  thereof,  should  not  escape 
this  taxation  and  thus  secure  an  advantage  over  other  land  and  the 
owners  thereof  who  have  paid  their  proportion  of  taxes. 

The  bill  prepared  by  us  attempts  to  provide  machinery  for  cleaning 
up  and  collecting  all  these  delinquent  taxes :  first,  by  giving  delinquents 
an  opportunity  to  pay  and  then  by  bringing  chancery  suits  to  enforce  the 
collection  of  the  tax  liens  by  judicial  sales  under  which  the  full  value  of 
the  property  will  be  received. 

We  do  not  believe,  however,  that  delinquency  in  the  payment  of  taxes 
should  be  encouraged,  and  recommend  that  additional  penalties  should 
be  provided  in  order  to  enforce  reasonably  prompt  payment. 

We  recommend  that  section  636-a  of  the  Code,  providing  that  the 
capitation  tax  should  be  a  lien  on  real  estate,  be  repealed.  By  con- 
stitutional provision,  this  tax  cannot  be  collected  until  three  years 
after  it  is  due.  Very  little  of  it  is  afterwards  collected  by  pro- 
cess of  law  or  voluntary  payment,  and  the  fact  that  it  is  such  a  lien 
causes  endless  trouble  and  expense  in  the  examination  of  titles  to  real 
estate.  But  if  this  lien  is  retained,  then  an  additional  sub-section  should 
be  added  making  delinquent  personal  property  taxes  a  lien  upon  real 
estate,  and  provision  should  be  made  in  said  bill  for  enforcing  same. 

In  1912,  30  per  cent,  of  the  total  assessment  of  white  and  63  per 
cent,  of  the  colored  capitation  taxes  were  returned  delinquent,  whereas 
only  five  per  cent,  of  the  real  estate  and  seven  per  cent,  of  the  personal 
property  assessments  were  so  returned.  From  1903  to  1912,  inclusive, 
$2,428,000  of  poll  taxes,  more  than  one-third  of  the  total,  have  been 
returned  delinquent.  The  personal  property  delinquent  list  is  also 
very  large.  We  doubt  if  ten  per  cent,  of  either  can  be  collected  by 


40  Report  of  Committee  on  Tax  Revision. 

extending  the  lien  to  real  estate,  but  if  it  is  desired  to  do  so,  the  pro- 
posed bill  will  provide  a  feasible  means  to  collect  such  as  can  be  collected. 
We  have  carefully  examined  the  records  in  the  Auditor's  Office  be- 
tween 1890  and  1912  in  an  effort  to  ascertain  the  amount  of  real  estate 
taxes  remaining  delinquent,  but  have  been  unable  to  find  it  because  collec- 
tions of  taxes,  penalties  and  interest  are  all  credited  together.  The  average 
annual  delinquent  return  for  this  period  has  been  $66,000.  We  are 
satisfied  from  this  investigation  that  between  $400,000  and  $500,000  of 
these  taxes  yet  remain  unpaid,  over  one-half  of  which  should  be  easily 
collected.  The  amount  of  delinquent  local  levies  would  probably  be 
quite  three  times  as  large. 


Chapter  I — Delinquent  Taxes.  41 


A  BILL 

To  provide  for  the  collection  of  delinquent  taxes;  to  ascertain  the  liens 
on  delinquent  lands,  and  to  sell  lands  to  satisfy  the  liens  of  delin- 
quent taxes;  to  ascertain  omitted  lands,  and  to  provide  further  penal- 
ties upon  delinquent  taxpayers. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  the  circuit 
court  of  each  county  and  the  corporation  court  of  each  city,  except  the 
city  of  Bichmond,.and  the  chancery  court  of  the  city  of  Eihmond,  shall 
forthwith  after  this  act  takes  effect,  designate  one  or  more  of  its  com- 
missioners in  chancery,  or  a  special  commissioner  or  commissioners  in 
chancery,  who  shall  be  a  competent  attorney  at  law,  to  examine  all  of  the 
delinquent  tax  records  and  other  records  bearing  on  delinquent  taxes 
upon  real  estate  and  capitation  within  its  jurisdiction  delinquent  at  any 
time  between  January  1,  1876,  and  November  30,  1914,  in  order  to  ascer- 
tain all  taxes  and  levies,  together  with  interest,  penalties  and  costs,  delin- 
quent and  due  to  the  Commonwealth,  said  cities  ©r  counties  and  all  towns 
and  districts  therein;  and  to  examine  deed  books,  will  books  and  other  re 
cords  and  otherwise:  to  secure  information  in  order  to  ascertain  against 
what  lands  and  lots  such  taxes  and  levies  are  properly  chargeable,  and 
what  persons  own  such  lots  and  lands  or  have  an  interest  therein ;  and  to 
ascertain  if  there  are  lots  or  lands  in  such  city  or  county  not  assessed  with 
taxes.     Said  courts  will  designate  the  districts  or  wards  for  which  any 
such  commissioner  will  make  such  examination. 

2.  Such  commissioner  will  make  a  report  of  each  item  of  delinquent 
real  estate  and  capitation  taxes  and  levies  in  such  district  or  ward  not 
properly  marked  redeemed  or  released,  whether  the  property  against  which 
same  is  charged  has  been  sold  to  the  Commonwealth  or  not,  or  upon  which 
application  to  purchase  has  not  been  properly  completed.    Said  lists  shall 
give  a  description  of  each  parcel  of  delinquent  property,  the  name  of  the 
person  to  whom  it  was  charged  as  delinquent  in  each  year,  the  name  of 
the  present  owner  thereof  and  of  any  person  having  a  recorded  lien  or  in- 
completed  application  to  purchase  thereon,  and,  if  possible,  the  address 
of  each;  the  amount  of  taxes  and  levies  thereon  due  the  Commonwealth, 
city  or  county,  district  or  town  each  year ;  all  penalties  and  costs  thereon, 
and  interest  prescribed  by  law  up  to  two  months  beyond  the  date  of  filing 
of  such  report,  and  the  aggregate  of  each  of  such  items. 

Said  commissioner  will  mark  each  such  item  or  tract  "improperly 
delinquent"  which  he  believes  from  any  cause  should  be  so  marked,  and 
give  his  reasons  therefor  in  his  report. 

Such  commissioner  shall  report  only  one  parcel  or  tract  of  land  to 
satisfy  delinquent  capitation  taxes  of  any  person,  and  shall  report  no 
capitation  tax  delinquent  less  than  three  years  from  such  date.  Appended 
to  said  report  shall  be  a  list  of  lots  or  tracts  of  land  in  such  ward  or  dis- 


Report  of  Committee  on  Tax  Revision. 


trict  omitted  from  the  land  books,  with  a  description  and  names  of  the 
owners  thereof. 

3.  Where  any  tract  of  land  has  been  divided  or  partitioned  by  sale  or 
otherwise,  after  being  returned  delinquent,  the  commissioner  shall  appor- 
tion such  delinquent  taxes,  levies  and  charges  thereon  to  the  several  parts 
as  near  as  may  be  in  proportion  to  the  value  thereof  ;  except  where  a  per- 
son then  or  subsequently  owned  the  whole  of  such  tract  chargeable  with 
such  tax  and  afterwards  sold  part  or  parts  thereof  under  conveyances  con- 
taining covenants  of  general  warranty,  and  at  the  time  of  such  report  owns 
the  remainder,  then  if  such  remainder  is  of  sufficient  value  to  satisfy  such 
liens  said  taxes,  levies  and  charges  shall  be  apportioned  to  such  remainder. 

4.  Said  report  shall  be  made  in  triplicate,  and  all  three  copies  filed  in 
the  clerk's  office  of  such  court,  one  to  become  a  permanent  record,  one  for 
the  use  of  the  commissioner  subsequently  to  be  appointed,  and  one  to  be 
transmitted  to  the  auditor  of  public  accounts.    Forthwith  after  the  filing 
of  said  report  the  clerk  of  said  court  shall  mail  to  each  person  reported  as 
the  owner  of  or  interested  in  each  lot  or  tract  of  land  at  his  last  known  ad- 
dress a  notice  giving  description  thereof  and  the  aggregate  amount  due 
thereon,  which  notice  shall  state  that  unless  such  taxes,  levies  and  charges 
are  paid  within  sixty  days  after  the  filing  of  said  report,  an  order  will  be 
entered  at  the  next  succeeding  term  of  said  court  directing  the  absolute 
sale  of  said  property  without  right  of  redemption. 

Any  person  owning  or  having  an  interest  in  any  such  tract  of  land 
may,  within  sixty  days  after  the  filing  of  said  report,  pay  to  said  clerk  all 
delinquent  taxes,  levies,  interest,  costs  and  charges  due  against  same,  and 
take  his  receipt  therefor;  whereupon,  said  clerk  shall  note  said  payment 
upon  said  report  opposite  said  item,  and  mark  said  tract  or  lot  of  land 
redeemed  upon  the  proper  delinquent  tax  and  sale  book  in  his  office. 

Any  person  owning  or  having  an  interest  in  any  lot  or  parcel  of  land 
listed  in  such  report  aggrieved  by  reason  thereof  or  claiming  that  the  taxes 
and  levies  reported  have  been  paid,  may,  within  sixty  days  after  the  filing 
thereof,  make  written  application  to  the  said  court  to  correct  same  and 
grant  such  relief  as  may  be  proper,  which  application  shall  set  forth  the 
relief  sought,  and  the  reasons  therefor.  The  treasurer,  clerk,  said  commis- 
sioner and  the  Commonwealth's  attorney  of  a  county,  or  the  city  attorney 
of  a  city  or  town,  shall  have  at  least  five,  days'  notice  of  such  application, 
and  they  shall  be  present  at  the  hearing  thereof,  and  said  notice  of  appli- 
cation shall  be  returnable  to  the  first  day  of  the  next  term  of  court  after 
the  same  is  given.  The  clerk  shall  forthwith  make  such  correction  of  said 
list,  and  the  delinquent  land  and  sale  books  as  may  be  ordered  by  the  court. 
The  costs  of  such  application,  if  the  relief  sought  is  granted,  shall  be  re- 
covered and  taxed  against  the  officer  or  officers  responsible  for  the  error, 
and  execution  will  issue  therefor. 

5.  At  the  first  term  after  the  expiration  of  such  sixty  days  the  said 
court  shall  examine  the  said  report,  and,  after  advising  with  the  treasurer, 
Commonwealth's  attorney,  city  or  town  attorney,  it  shall  enter  an  order 
directing  the  clerk  to  strike  from  said  report  and  said  delinquent  land  and 


Chapter  I — Delinquent  Taxes.  43 

sales  books  such  lots  or  parcels  of  land  as  are  improperly  thereon  or  cannot 
be  found  in  such  ward  or  district.  The  clerk  shall  thereupon  correct  said 
report  and  each  copy  thereof,  shall  forthwith  transmit  one  copy  thereof, 
as  well  as  all  orders  entered  thereon,  to  the  auditor  of- public  accounts, 
and  deliver  one  copy  to  the  commissioner  hereinafter  provided  for.  The 
commissioner  of  the  revenue  will  enter  the  said  omitted  tracts  of  land 
upon  the  proper  land  book. 

6.  The  said  commissioner  shall  make,  and  preserve  for  the  use  of  the 
commissioner  to  be  appointed,  to  ascertain  and  state  an  account  of  liens, 
a  memorandum  abstract  of  all  transfers  and  conveyances  necessary  to  de- 
termine the  ownership  or  persons  interested  in  each  delinquent  tract  or 
parcel  of  land.    He  shall  receive  a  fee  of  one  dollar  for  reporting  and  cal- 
culating the  taxes,  levies,  interest  and  charges  on  each  delinquent  tract, 
and  a  fee  of  twenty-five  cents  for  each  transfer  or  conveyance  over  one 
necessarily  examined  and  abstracted  by  him.  The  clerk,  for  the  services  re- 
quired to  be  performed  by  him,  shall  receive  the  fees  allowed  for  like  ser- 
vices by  law,  except  that  he  shall  receive  five  cents  for  mailing  each  of 
the  notices  to  delinquent  owners  and  others  required  under  section  four  of 
this  act.    All  of  said  fees  and  costs  shall  be  added  to  the  amount  of  the 
taxes  and  levies  against  said  delinquent  tracts  and  collected  as  a  part 
thereof.    Upon  the  delinquent  tracts  stricken  from  said  report  upon  the 
application  of  the  owner  or  other  person  interested,  or  by  the  court  upon 
its  own  motion,  said  commissioner  shall  receive  one-half  only  of  said  fees ; 
one-half  of  which  shall  be  paid  by  the  Commonwealth  and  .one-half  by 
the  county  or  city  upon  the  order  of  said  court,  certify  ing  same. 

7.  The  clerk  shall,  within  thirty  days  after  collecting  same,  account 
for  and  remit  all  delinquent  taxes,  levies,  penalties,  costs  and  charges, 
less  the  commissions  allowed  by  law,  to  the  proper  receiving  officers  or 
persons  entitled  thereto  in  the  manner  provided  by  law. 

8.  So  soon  as  said  report  shall  have  been  corrected  as  aforesaid,  the 
said  court  shall  appoint  the  same,  or  some  other  commissioner  in  chancery, 
or  special  commissioner,  who  shall  be  a  competent  attorney  at  law,  to 
bring  and  prosecute  a  suit  or  suits  in  chancery  in  the  name  of  the  Com- 
monwealth, to  enforce  the  said  tax  liens  of  the  Commonwealth,  and  the 
said  cities,  counties,  districts  and  towns,  against  all  of  the  remaining 
unredeemed  lots  or  tracts  of  land  described  in  said  report  situate  in  said 
ward  or  district.    No  writ  tax  shall  be  paid  on  any  such  suit.    The  insti- 
tution of,  proceedings  in  and  conduct  of  such  suits,  and  sales  thereunder, 
shall  conform  to  the  law  and  practice  controlling  in  other  suits  in  chan- 
cery brought  to  enforce  liens.    All  necessary  bonds  shall  be  given,  accounts 
taken,  reports  of  liens  made,  orders  entered  for  the  protection  of  persons 
under  disability,  and  sales  made  so  as  to  most  quickly  enforce  the  said  tax 
liens,  and  protect  the  interests  of  the  owners  of  or  persons  interested  in 
said  property.     The  court  may  make  such  orders  allowing  the  payment 
of  fees  and  commissions  as  it  may  deem  proper,  but  same  shall  be  a  charge 
upon  said  property,  and  none  thereof  shall  be  paid  by  the  Commonwealth, 
or  any  city,  county,  district  or  town ;  and  after  the  institution  of  any  such 


44  Report  of  Committee  on  Tax  Revision. 

suit  such  reasonable  fees  and  charges  shall  become  a  lien  upon  said  prop- 
erty. 

If  there  be  already  pending  chancery  suits  brought  to  enforce  liens  on 
any  such  lands  the  statement  of  tax  liens  and  costs  may  be  filed  therein 
by  said  commissioner,  and  reported  as  a  first  and  superior  lien  on  such 
property,  but  in  such  case  the  court  shall  not  permit  delay  in  the  sale  of 
such  property  or  the  collection  of  such  liens. 

9.  If  the  court  or  commissioner  deems  it  advisable  to  procure  a  more 
definite  description  of  any  such  lot  or  parcel  of  land,  or  to  sub-divide  any 
such  tract  in  order  to  secure  a  better  price  therefor,  then  the  court,  or 
the  judge  thereof  in  vacation,  will  appoint  a  competent  surveyor  to  survey, 
or  survey  and  partition  same,  who  shall  make  such  surve}r  and  return  his 
report  thereof  together  with  a  plat  and  accurate  description  thereof  with 
due  diligence  to  the  said  commissioner,  and  the  court  will  allow  such  sur- 
veyor a  reasonable  fee  for  such  work,  which  shall  be  a  lien  upon  and  a 
charge  against  said  land  and  each  parcel  thereof. 

10.  If  any  commissioner  or  surveyor  fail  to  do  the  things  required  of 
them  to  be  done  by  this  act  with  all  due  diligence,  then  the  court  shall 
remove  him  and  appoint  another  in  his  stead,  and  for  such  lack  of  dili- 
gence he,  or  any  other  officer,  shall  forfeit  his  fees  and  commissions  in  ad- 
dition to  being  liable  to  any  other  penalties  provided  by  law. 

11.  The  purchaser  at  any  such  sale  shall  take  such  title,  acquire  such 
rights  and  be  governed  by  such  requirements  as  affect  purchasers  under 
other  judicial  chancery  sales  for  the  enforcement  of  liei.*.     The  deed  to 
be  made  to  such  purchaser  shall  set  forth  substantially  the  essential  facts 
appearing  in  the  clerk's  office  and  in  such  suit. 

12.  The  commissioner  making  such  sale  shall  not  purchase  any  prop- 
erty offered  for  sale.    Neither  shall  the  owner,  nor  any  person  interested 
therein,  nor  any  person  for  him  or  them,  unless  he  offers  for  such  prop- 
erty at  least  the  aggregate  amount  of  taxes,  levies,  interest,  penalties, 
costs  and  charges  reported  thereon,  and  the  costs  of  such  suit.    When  at 
any  such  sale  the  best  and  highest  offer  on  any  lot  or  tract  IP  not  sufficient 
to  pay  said  taxes,  levies,  interest,  charges  and  costs,  the  commissioner 
shall  adjourn  said  sale  as  to  such  propertv  to  some  future  time  in  con- 
formity with  law;  and  at  such  adjourned  sale  said  commissioner  shall 
accept  the  highest  and  best  bid  for  such  property,  subject  to  the  approval 
of  the  court,  and  the  court  shall'  order  the  funds  received  therefrom  pro- 
rated between  the  Commonwealth  and  the  city,  county,  district  or  town 
interested  therein. 

13.  No  application  for  the  purchase  of  delinquent  lands  provided  by 
section  six  hundred  and  sixty-six  of  the  Code  of  Virginia  shall  be  here- 
after received  in  any  of  the  clerks'  offices  of  this  Commonwealth ;  but  such 
applications  as  are  now  properly  on  file  which  have  been  prosecuted  in  con- 
formity with  law  shall  entitle  the  applicant  to  payment  from  the  sales  of 
such  lands  of  the  sums  allowed  by  law. 

14.  Every  fourth  year  after  the  filing  of  the  first  report  of  delinquent 
lands  herein  provided  for,  the  courts  shall  appoint  commissioners  as  pro- 


Chapter  I — Delinquent  Taxes.  45 

vided  in  section  one  hereof;  and  all  proceedings  shall  be  had  and  things 
done  anew  which  affect  delinquent  lands,  in  conformity  with  and  under 
the  provisions  of  this  act. 

15.  In  addition  to  other  penalties  and  interest  provided  by  law  to  be 
collected  upon  delinquent  lands  from  delinquent  tax  payers,  an  additional 
penalty  of  five  per  centum  shall  be  added  to  the  amount  of  taxes  or  levies 
due  from  such  taxpayer  against  whom  such  land  is  assessed  on  the  first 
day  of  July  each  year  during  the  continuance  of  such  delinquency,  which 
when  collected  shall  be  accounted  for  by  the  proper  collecting  officer. 

16.  All  acts  and  parts  of  acts  inconsistent  or  in  conflict  herewith  in 
so  far  as  they  affect  the  operation  of  this  act  are  hereby  repealed. 


46  Report  of  Committee  on  Tax  Revision. 


CHAPTER    II. 
THE  TAXATION  OF  PERSONAL  PROPERTY. 

Tangible  Personal  Property. 

With  the  proper  change  of  terms,,  nearly  all  that  we  have  said  with 
regard  to  the  defects  in  our  methods  of  taxing  real  estate  may  be  applied 
to  the  taxing  of  tangible  personal  property.  Excessive  inequalities 
abound,  both  among  the  localities  and  among  individuals  within  the 
same  locality.  There  is  also  a  marked  undervaluation  everywhere,  though 
it  is  slightly  less  than  in  the  case  of  real  estate.  The  remedies  we  pro- 
posed for  these  defects  in  the  last  chapter  would,  in  our  opinion,  achieve 
equally  beneficial  results  in  the  case  of  nearly  all  forms  of  tangible 
property. 

There  remain,  therefore,  only  a  few  points  to  which  we  wish  here 
to  direct  attention. 

In  practical  operation,  the  administration  of  the  tax  on  personal 
property  is  in  the  hands  of  the  commissioner  of  the  revenue.  He  sends 
out  the  interrogatories,  he  examines  the  returns  made  by  tax  payers,  he 
assesses  those  who  make  no  returns,  he  certifies  the  books  to  the  auditor 
of  public  accounts,  and  to  the  local  treasurer.  The  difficulties  that  con- 
front him  are  very  similar  to  those  of  the  land  assessor  and  cause  a 
similar  undervaluation,  though  the  degree  of  the  undervaluation  appears 
to  be  somewhat  less  than  for  real  estate. 

The  total  assessed  value  of  tangible  personal  property  for  the  fiscal 
year  1912-13  in  the  counties  of  the  State  was  $77,107,902.00,  and  in  the 
cities  $25,870,202.00,  aggregating  $102,978,104.00.  Calculating  the  tax 
on  these  amounts  at  35  cents,  the  State  derived  a  revenue  from  the 
counties  of  $269,877.66,  and  from  the  cities  of  $90,545.71,  aggregating 
$360,423.37. 

The  increase  in  the  assessed  valuation  of  tangible  personal  property 
since  1887  has  been  as  follows : 

1887 $  43,397,887  1898 $  42,123,280 

1888 45,046,012  1899  .    .' 42,693,324 

1889   44,830,090  1900 46,221,522 

1890 44,680,247  1901  46,590,680 

1891    46,340,565  1902 49,426,836 

1892 48,080,706  1903 52,037,851 

1893 47,343,765  1904 55,185,656 

1894 44,041,723  1905 59,088,361 

1895 41,564,553  1906 70,296,463 

1896 41,264,813  1907 63,897,894 

1897 39,927,089  1908 76,897,098 


Chapter  II — The  Taxation  of  Personal  Property.  47 

1909   $     79,544,002     1912 $     89,364,113 

1910 85,561,859     1913 102,978,104 

1911 87,779,794     1914 108,472,447 

As  the  best  available  measure  of  undervaluation  comparisons  have 
been  made  between  certain  classes  of  property  enumerated  in  the  United 
States  census  of  1910,  and  the  same  classes  of  property  in  the  property 
books  of  1913.  The  classes  for  which  direct  comparison  can  be  made 
are  farm  animals  and  farm  machinery. 

The  comparison  is  necessarily  defective  in  one  particular;  the  census 
report  was  three  years  old  in  1913.  It  is  well  known  that  the  pro- 
duction of  such  classes  of  farm  animals  as  sheep  and  hogs  may  be  readily 
increased  or  diminished  from  year  to  year  to  meet  the  market  condi- 
tions. This  is  in  some  measure  true  also  even  of  horses  and  cattle. 
The  comparison  can  be  taken,  therefore,  to  show  only  the  approximate 
degree  of  undervaluation. 

The  assessment  of  all  the  items  directly  comparable  amounts  to 
$44,000,000.00 ;  $26,000,000.00  is  represented  in  the  assessment  of  horses, 
mules,  etc.,  and  $12,000,000.00  in  the  assessment  of  cattle.  These  com- 
parable classes,  according  to  the  census  report,  had  a  true  value  of 
$96,000,000.00  of  which  $48,000,000.00  was  represented  by  horses  and 
$22,000,000.00  by  cattle. 

To  carry  out  the  comparisons  it  has  been  necessary  to  make  a  rather 
arbitrary  adjustment.  Thus  farm  machinery  in  the  census  report  in- 
cludes wagons  and  similar  vehicles,  while  a  separate  category  is  provided 
for  such  vehicles  in  the  tax  interrogatories.  On  the  other  hand,  this 
separate  category  includes  automobiles  and  other  property,  which  is  not 
considered  by  the  census  bureau  as  farm  machinery.  The  one,  therefore, 
is  taken  to  be  an  approximate  offset  to  the  other. 

Again,  the  direct  comparisons  possible  include  only  $44,000,000.00 
of  the  tangible  personalty  assessed.  This  leaves  approximately  $59,- 
000,000.00  for  which  a  direct  comparison  cannot  be  made.  We  feel 
justified  in  assuming,  however,  that  the  ratio  of  the  assessed  value  to 
the  census  value  of  this  latter  class  is  the  same  as  the  ratio  of  as- 
sessed to  census  value  of  the  classes  that  can  be  directly  compared.  If 
this  assumption  be  granted,  then  the  true  value  of  all  tangible  property 
in  the  Commonwealth  in  1910  was  $220,000,000.00.  In  other  words, 
property  of  this  class  in  1913  was  assessed  for  taxation  at  46.8  per  cent, 
of  its  true  value.  We  believe  that  this  ratio  is  substantially  correct. 
The  following  table  shows  the  result  of  the  comparison : 


Report  of  Committee  on  Tax  Revision. 


VALUES  OF  TANGIBLE  PERSONAL  PROPERTY. 

SCHEDULE  B. 


NUMBERS 

VALUES 

AVERAGE 
VALUES 

Ratio  of  As- 
0m?ment  to 

census 

Assess- 
ment 
1913 

Census 
1910 

Assessment 
1913 

Census 
1910 

Assess 
ment 
1913 

Census 
1910 

Values  of  tangible  prop- 
erty,  all  classes  

$102,978,104 
58,595,348 

44,382,756 
26,784,959 
12,070,666 
1,011,858 
1,584,227 
2.931.036 

$220,300,380 

(estimated) 
124,156,200 

96,144,180 
48,083,529 
22,202,253 
3,340,087 
4,402,428 
18.115.883 

46.80 
47.20 

46.20 
55.80 
54.30 
33.30 
36.00 
16.19 

Values  of  tangible  prop- 
erty,    classes    not     re- 
ported by  census 

Values  of  tangible  prop- 
erty,    classes     reported 
by  census 

Horses,    mules,    etc  

393,273 
656,010 
339,218 
465,808 

433,837 
895,728 
787,595 
836,406 

$68  20 
18  40 
2  99 
3  41 

$110  90 
24  80 
4  24 
5  27 

Cattle 

Sheep    and   goats  

Hogs             

Vnliips  of  farm  machinerv 

Chapter  II — The  Taxation  of  Personal  Property.  49 

The  following  conclusion  can  be  drawn  relative  to  the  taxation  of 
tangible  personal  property.  This  property  on  the  whole  is  somewhat 
better  assessed  than  is  real  estate,  a  fact  not  always  clearly  brought  out 
in  reports  relative  to  taxation.  Many  writers  have  visited  upon  tangible 
personal  property  the  odium  very  properly  borne  by  the  assessment  and 
taxation  of  intangible  personal  property.  As  a  matter  of  fact,  tangible 
personal  property  partakes  very  largely  of  the  condition  of  real  estate. 
It  is  in  view  and  most  of  it  can  be  counted.  It  is  available  for  appraisal 
in  quantities  whose  values  are  fairly  well  known  to  the  average  man. 
The  opportunities  for  under-assessment  are  rather  less  than  those  for 
the  undervaluation  of  realty.  The  main  defect  of  the  assessment  of 
tangible  property  arises  rather  from  the  failure  to  list  the  property  at 
all  than  from  the  failure  to  list  it  at  a  reasonable  value. 

We  believe  that  with  the  reduction  in  the  number  of  commissioners, 
as  recommended  by  the  committee,  there  would  be  greater  equality  in 
taxing  real  estate  and  tangible  personalty. 

We  wish  to  call  attention  to  one  rather  serious  defect  in  the  present 
law.  In  order  to  secure  answers  to  his  interrogatories  the  commissioner 
oi  the  revenue  is  required  "to  apply  in  person  at  least  three  times  to  such 
person,  firm  or  corporation,  and  if  such  answers  are  not  obtained  it  shall 
thereafter  be  the  duty  of  the  tax  payer  to  seek  the  commissioner,  and 
upon  failure  to  render  such  answers  for  a  period  of  thirty  days,  the 
commissioner,  or  his  deputies,  may,  upon  the  best  information  obtainable 
by  him,  ascertain  the  facts  necessary  to  enter  answers  to  such  interroga- 
tories, which  he  is  hereby  required  to  enter."  No  commissioner  can 
possibly  carry  out  the  letter  of  this  law.  All  of  his  time  would  be  spent 
in  looking  up  and  running  after  the  tax  payers  when  he  should  be  at- 
tending to  the  many  other  exacting  duties  'of  his  office.  The  law,  in 
this  respect,  should  be  amended  so  as  to  require  the  commissioner,  or  his 
qualified  deputies,  to  call  on  each  tax  payer  in  his  district,  and  if  such 
tax  payer  should  be  absent,  the  commissioner,  or  his  deputy,  should 
leave  interrogatories  for  him  at  his  residence,  or  place  of  business,  and 
if  such  interrogatories  are  not  returned  to  the  commissioner's  office 
within  twenty  days  from  the  time  they  were  left  at  the  tax  payer's  resi- 
dence, or  place  of  business,  the  commissioner  should  then  have  the, right 
and  authority  to  assess  the  tax  payer  upon  his  best  information.  '  This 
is  the  recommendation  of  many  of  the  best  commissioners  of  the  revenue 
in  the  State. 

Tables  will  be  found  in  the  appendix  comparing  the  census  valuation 
in  1910  with  the  assessments  of  1913. 

Intangible  Personal  Property. 

In  discussions  and  literature  on  taxation  the  term  "intangible"  prop- 
erty is  commonly  applied  to  monies,  credits,  and  those  rights,  claims 
and  privileges  that  pass  into  private  ownership  and  have  a  commercial 
value.  Our  present  law  attempts  to  make  a  grouping  of  property  of 
this  kind  in  "Schedule  C,"  and  subdivides  the  group  into  eight  classes. 
This  subdivision  is  probably  intended  merely  to  aid  in  the  administra- 
tion of  the  law,  for  the  tax  rate  is  uniform  in  the  Commonwealth  on  all 


50  Report  of  Committee  on  Tax  Revision. 

sorts  of  property  except  money.  We  may  say,  in  passing,  that  the  group- 
ing is  not  perfect,  since  it  includes,  under  the  head  of  capital  in  any 
trade,  or  business  not  otherwise  taxed,  such  tangible  personal  property  as 
the  materials,  goods,  wares  and  merchandise  on  hand.  This  lessens  the 
usefulness  of  the  figures  that  should  show  the  true  amount  of  intangible 
property  that  is  declared  and  put  upon  the  tax  rolls. 

When  our  tax  system  was  in  process  of  formation,  little  property  of 
this  kind  existed.  Wealth  consisted  for  the  most  part  of  visible,  tangible 
things  in  the  sole  ownership  of  the  possessor.  A  property  tax  was, 
therefore,  fairly  easy  to  assess  and  collect;  and  it  was  also  fairly  just  for 
the  commercial  value  of  a  citizen's  known  property  was  a  good  measure 
of  his  ability  to  pay.  But  a  very  different  condition  prevails  today.  A 
franchise,  a  mere  privilege  to  do  certain  things  in  a  certain  way,  may 
be  worth  more  than  a  whole  county.  A  business  may  grow  enormously 
in  value  when  good  organization  and  efficient  management  have  estab- 
lished it  as  a  "going  concern,"  even-  though  its  tangible  assets  have  not 
increased.  With  the  growth  of  our  credit  system  claims,  rights  and 
equities  evidenced  in  countless  ways  divide  and  sub-divide  the  value  of 
property  and  the  profits  from  its  use  among  a  multitude  of  people. 
Such  privileges,  rights  and  claims,  together  with  the  enormous  quantities 
of  tangible  wealth  organized  as  a  "going  concern"  under  a  single  control, 
sometimes  form  an  entity  so  vast  as  to  make  totally  inapplicable  such 
terms  as  "true  cash  value,"  "fair  market  value,"  and  like  expressions 
familiar  to  framers  of  tax  laws.  Intangible  property,  therefore,  has 
come  to  play  an  exceedingly  important  part  in  our  modern  life.  Its 
growth  is  one  of  the  most  impressive  phenomena  of  industrial  develop- 
ment. It  is  apt  to  compose,  except  in  strictly  rural  communities,  by  far 
the  greater  part  of  a  rich  man's  estate.  People  also  of  very  moderate 
means  usually  have  a  part  of  their  possession  in  this  form ;  and  even  the 
poor  man  often  tries  to  "salt  down"  his  meager  savings  by  investment 
in  some  reputable  "security." 

Difficulty  of  Taxing  Intangible  Property. 

Obviously,  then,  if  men  are  to  contribute  to  the  needs  of  government 
in  proportion  to  their  ability,  intangible  property  must  be  taken  into 
account.  So  gradual  was  its  growth  that  for  generations  it  was  believed 
that  the  ancient  property  tax  system  could  be  extended  to  include  it 
without  maleria!  ci.unec.  Our  system  in  Virginia  still  exists  on  that 
belief.  But,  irafurtitiiatf)/.  being  intangible  and  invisible,  such  property 
is  hard  to  assess,  and  its  ownership  is  hard  to  ascertain.  A  single  estate', 
though  large  as  a  whole,  is  often  built  up  of  numerous  small  equities 
that  are  evidenced  differently,  and  sometimes  not  evidenced  at  all,  of  a 
few  shares  in  many  enterprises,  and  of  various  rights  that  are  lucrative 
but  easily  hidden  from  the  assessor.  Such  property  can  be  readily  trans- 
ferred from  place  to  place  and  from  hand  to  hand.  There  are  easy  de- 
vices for  assigning  the  title  to  it  while  still  retaining  its  usufruct.  All 
evidences  of  it  may  easily  be  concealed  either  within  or  without  the  State 
durir.g  the  whole  lifetime  of  the  true  owner. 

Such  being  its  nature,  efforts  to  tax  this  property  to  the  owner  by  the 


Chapter  II — The  Taxation  of  Personal  Property.  51 

customary  methods  have  long  since  proved  futile  and  sometimes  ridicu- 
lous. The  local  assessor's  only  means  of  ascertaining  the  amount  and 
Value  of  it  possessed  hy  a  citizen  was  the  citizen's  own  declaration;  and 
all  too  often  that  declaration  turned  out  to  be  altogether  untrustworthy. 
In  many  regions  a  sort  of  tacit  opinion  developed  that  condoned  false 
statements  regarding  taxable  property.  So  common  have  such  state- 
ments become  that  a  high  court  in  one  of  our  states  has  actually  said 
that  "Perjury  in  connection  with  a  man's  tax  list  does  not  affect  his 
general  credibility  under  oath."  As  a  result,  much  the  greater  part  of 
intangible  property  is  never  put  upon  the  rolls  and  escapes  taxation 
altogether.  From  state  after  state  in  recent  years  have  come  the  reports 
of  legislative  investigating  committees,  of  tax  commissions  and  of  other 
bodies,  all  unanimous  to  the  effect  that  in  this  field  the  just  adminis- 
tration of  the  general  property  tax  at  a  uniform  rate  is  an  utter  and  ir- 
redeemable failure. 

Just  what  proportion  of  this  kind  of  property  escapes  taxation  it  is 
impossible  to  discover,  but  there  is  ample  proof  that  the  proportion  is 
very  large.  There  can  be  no  doubt  that  the  value  of  intangible  property 
grew  during  the  last  half  of  the  nineteenth  century  much  more  than 
did  the  value  of  real  estate.  The  census  office  has  shown  that  the  assessed 
value  of  real  estate  increased  six  or  sevenfold  and  the  assessed  value  of 
personal  property  only  fourfold.  In  New  York  real  estate  in  1902  was 
assessed  at  nearly  ten  times  as  much  as  in  1850;  personalty  at  no  more 
than  about  four  times  as  much.  The  figures  are  as  bad,  or  worse,  for 
nearly  all  other  states.  In  California  personal  property  for  1860  was 
forty-six  per  cent,  of  all  property  taxed:  in  1905  it  was  only  seventeen 
per  cent.  In  Kentucky  in  1904  intangible  property  was  not  quite  eleven 
per  cent,  of  the  total  roll,  and  six  years  later  even  this  small  ratio  had 
been  reduced  to  nine  and  one-half  per  cent.  In  Minnesota  in  1910  the 
assessed  value  of  money  and  credits  other  than  mortgages  was  only  $14,- 
000,000.00;  but  the  next  year  the  amount  assessed  was  increased  nearly 
eight  hundred  and  fifty  per  cent.,  because  the  tax  was  greatly  reduced 
on  it.  The  great  and  prosperous  State  of  Ohio  actually  assessed  $13,- 
000,000.00  less  of  monies  and  credits  in  1909  than  it  had  assessed  twenty- 
eight  years  before.  The  total  value  of  such  property  taxed  in  Ohio 
in  that  year  was  only  $137,400,000.00,  while  Pennsylvania,  where  the 
tax  rate  was  very  low,  assessed  nearly  twelve  times  as  much.  A  lowering 
of  the  tax  rate  in  Maryland  in  1896  raised  the  assessed  value  of  taxable 
securities  in  Baltimore  in  one  year  from  $6,000,000.00  to  $55,000,000.00. 

It  gratifies  us  to  be  able  to  say  that  in  Virginia  evasion  of  taxes  on 
intangible  property  appears  to  have  been  less  widespread  than  is  usual 
in  other  states  which  maintain  a  uniform  tax  rate  on  all  classes  of  prop- 
erty. The  amount  assessed  under  "Schedule  C,"  of  our  tax  law  in 
1887,  which  was  the  first  year  the  Auditor's  Eeport  separates  from  it 
the  figures  for  tangible  personalty,  was  $38,476,076.00.  By  the  end 
of  the  century  it  had  grown  to  $61,057,879.00.  During  the  past  five 
years  the  assessment  has  been  as  follows: 

1910 $     93,375,876. 

1911 102,680.897. 


52  Report  of  Committee  on  Tax  Revision. 

1912 $105,584,105. 

1913 141,967,315. 

1914 157,138,100. 

It  should  be  noted  that  these  figures  do  not  include  the  value  of  bank 
stock.  We  are  forced  to  admit,  however,  that  not  all  of  what  they  do 
include  is  intangible  property,  for  they  embrace  the  value  of  "the  ma- 
terials, goods,  wares  and  merchandise  on  hand"  "in  any  trade  or  busi- 
ness not  otherwise  taxed."  Approximately  the  assessed  value  of  these 
forms  of  tangible  personalty  seems  to  have  been  $25,000,000.00  in  1913, 
and  $26,000,000.00  in  1914.  This  means  that  last  year  the  commis- 
sioners of  the  revenue  put  upon  the  rolls  $116,967,315.00  of  intangible 
property,  not  including  bank  stock,  and  that  this  year  the  amount  has 
grown  to  $130,899,212.00.  This  figure  for  Virginia  compares  very 
favorably  with  the  Ohio  assessment  of  $137,400,000.00  in  1909,  or  with 
the  Minnesota  assessment  including  mortgages  (which  were  taxed  at  a 
very  low  rate)  of  $69,903,755.00  in  1910. 

But  it  scarcely  relieves  the  situation  to  say  that  in  this  matter  others 
have  sinned  more  than  we,  for  there  is  ample  evidence  that  our  own 
shortcomings  are  truly  appalling.  In  the  city  of  Baltimore  alone  there 
was  assessed  this  year  $35,000,000.00  more  of  intangible  property  than 
in  the  whole  Commonwealth  of  Virginia.  The  United  States  census 
of  1910  showed  the  capital  of  Virginia  manufacturers  to  be  $216,392,- 
388.00  The  Auditor's  Report  for  1913  shows  the  assessed  value  of  the 
capital  of  manufacturers  combined  with  that  of  all  others  engaged  in 
business  not  otherwise  taxed  to  be  only  $27,695,436.00.  The  census  re- 
port includes  the  value  of  real  estate.  But  if  we  set  off  against  that  the 
capital  of  those  included  in  the  Auditor's  figures  who  are  not  manu- 
facturers; and  the  offset  is  more  than  amply  liberal;  we  find  that  the 
assessed  value  of  manufacturers'  capital  was  only  12.78  per  cent,  of 
the  census  valuation.  In  the  different  cities  the  ratio  of  assessed  to 
true  value  was:  Alexandria,  5.43;  Danville,  16.94;  Lynchburg,  19.45; 
Norfolk,  24.65;  Petersburg,  18.80;  Portsmouth,  3.69;  Richmond,  40.45; 
Roanoke,  7.45;  Staunton,  20.90;  the  rest  of  the  State,  5.04. 

As  compared  with  other  cities,  Richmond  shows  up  well  in  the  assess- 
ment of  manufacturers'  capital.  The  same  seems  to  be  true  of  the  as- 
sessment of  her  other  classes  of  intangibles.  But  we  direct  attention  to 
the  following  facts:  in  1913  the  total  assessment  in  the  said  city  of 
bonds,  notes,  and  other  evidences  of  debt  was  only  $4,846,174.00,  while 
the  deeds  of  trust  alone  which  were  recorded  in  the  city  in  that  one 
year  to  secure  bonds  and  notes  amounted  to  $14,563,039.35.  Her  best 
informed  real  estate  men  tell  us  that  bonds  and  notes  thus  secured  in 
the  city  amount  to  at  least  $70,000,000.00,  in  addition  to  the  great  but 
unknown  amounts  of  credits  otherwise  evidenced.  If  this  is  true  of 
Richmond,  what  must  be  the  condition  elsewhere? 

The  amount  of  money  on  deposit  assessed  in  the  State  last  year  was 
$14,002.721.00.  This  year,  under  a  greatly  reduced  tax  rate,  the  amount 
rose  to  $25,820,978.00.  The  increase  appears  creditable  until  we  notice 
that  a  month  after  the  last  assessment  the  bank  statements  showed  money 
on  deposit  in  Virginia  banks  to  be  $150,527,998.00.  In  other  words,  the 


Chapter  II — The  Taxation  of  Personal  Property.  53 

money  on  deposit  alone  was  approximately  as  much  as  the  total  amount 
of  intangible  property  put  upon  the  assessment  rolls  in  the  Common- 
wealth. 

As  matters  now  stand  in  Virginia  the  estates  of  dead  people  are 
paying  more  than  one-fifth  of  all  the  taxes  collected  from  this  class  of 
property.  The  death  of  the  owner  often  brings  to  light  large  quantities 
of  it  that  he  did  not  declare  during  his  life.  In  the  case  of  thirteen 
decedents,  all  of  whose  intangible  property  combined  was  assessed  in  the 
last  years  of  their  lives  at  only  $14,000.00,  the  examiner  of  records 
showed  that  they  owned  at  death  $1,340,000.00  worth  of  it.  Each  of 
these  men  had  declared  on  an  average  little  more  than  one  per  cent,  of 
his  intangible  property.  One  examiner  of  records  secured  and  put  upon 
the  rolls  twenty-one  other  cases  of  omitted  assessments,  amounting  to 
$10,182,000.00.  The  same  examiner  writes  us:  "In  an  examination 
of  some  five  hundred  cases  (of  estates  of  more  than  $25,000.00)  few 
have  been  found  where  there  is  listed  any  intangible  property,  and  where- 
ever  listed  it  was  a  mere  bagatelle  in  comparison  with  their  actual 
holdings." 

We  believe  that  these  facts  suffice  to  show  that  very  much  the  greater 
part  of  the  intangible  property  now  owned  in  Virginia  is  not  listed  for 
taxation. 

The  Injustice  of  the  Present  Tax. 

The  failure  to  list  intangible  property  may  be  explained  on  two 
grounds.  The  first  is,  the  ease  with  which  it  may  be  concealed  so  as  to 
escape  any  taxation  at  all.  Upon  this  we  have  already  commented. 
The  second  is,  the  unuquul  and  unjust  tax  that  is  imposed  upon  it 
whenever  it  is  declared. 

The  combined  State  and  local  rates  in  Virginia  vary  between  $1.15 
and  $3.75  on  the  $100.00.  The  average  for  the  whole  State  is  just 
about  $1.50.  But  for  real  estate  and  tangible  property  these  rates  are 
merely  nominal,  since  property  of  those  classes  is  assessed  far  below  its 
true  value.  As  we  show  elsewhere,  real  estate  in  Virginia  pays  an 
average  tax  of  a  little  less  than  .58  cents  on  the  $100.00,  and  tangible 
personalty  pays  about  .68  cents.  But  intangible  property  does  not  admit 
of  underassessment  in  the  same  way.  When  listed  at  all,  therefore,  it 
pays  an  average  tax  that  is  more  than  twice  as  high  as  that  on  tangible 
personalty  and  nearly  three  times  as  high  as  that  on  real  estate.  In  this 
great  and  glaring  inequality  many  men  find  their  justification  for  con- 
cealing the  greater  part  of  the  intangible  property  they  own. 

Furthermore,  the  rate  when  levied  on  the  true  value  of  property,  in 
many  localities,  is  exorbitant  and  unjust.  At  the  present  day,  safe 
investments  that  will  yield  year  by  year  a  net  income  of  more  than  five 
per  cent,  on  capital  are  rare.  To  put  a  tax  upon  such  capital  that  takes 
away  between  one-third  and  two-thirds  of  its  total  yield  is  a  shock  to 
common  sense.  And  yet  that  is  precisely  what  we  do.  A  few  illustra- 
tions derived  from  our  actual  observation  will  make  this  clear. 

Three  years  ago  a  resident  of  New  York,  attracted  by  the  climate 
and  other  conditions  of  life  here,  contemplated  moving  to  Virginia.  He 


Report  of  Committee  on  Tax  Revision. 


was  receiving  an  income  of  $15,000.00  from  investments  aggregating 
$300,000.00 ;  and  on  inquiry  he  was  informed  that  in  addition  to  the 
State  income  tax,  he  would  pay,  if  he  settled  in  Richmond,  a  tax  on  his 
capital  of  $5,250.00.  He  learned  furthermore,  that  nowhere  in  the  State 
would  his  taxes  be  less  than  $3.600.00,  and  that  in  some  localities  they 
would  amount  to  upwards  of  $10,000.00.  Our  attention  has  been  called 
to  a  number  of  similar  instances  of  men  who  have  been  deterred  from 
making  their  residence  in  Virginia  by  the  unreasonable  tax  on  this  kind 
of  property. 

A  few  years  ago  a  young  citizen  of  Virginia  came  into  an  inheritance 
of  approximately  $400,000.00.  Under  the  former  owner  the  property 
appears  to  have  evaded  taxes  by  the  usual  methods,  but  the  new  owner 
was  ignorant  of  these  methods,  and  out  of  an  income  from  it  of  $16,- 
500.00  he  paid  in  the  first  year  of  his  ownership  an  income  tax  of 
$165.00  and  a  tax  on  capital  of  $6,800.00.  Needless  to  say,  the  second 
year  found  him  no  longer  a  resident  of  this  State.  Numerous  instances 
of  this  kind  have  likewise  been  brought  to  our  attention. 

Four  years  ago  a  farmer  died  in  one  of  our  counties  leaving  a  wife 
and  three  small  children  and  no  property  except  his  farm  and  its  equip- 
ment. The  family  had  lived  in  reasonable  comfort  and  the  children  had 
been  regular  attendants  at  the  public  school.  The  widow,  however,  on 
account  of  her  health,  was  unable  to  manage  the  farm,  and  on  the  advice 
of  her  friends  she  sold  it.  The  property  had  been  assessed  at  $5,500.00 
and  was  sold  for  $15,000.00.  The  money  was  placed  by  friends  of  the 
widow  in  safe  investments  carefully  selected  so  as  to  yield  interest  at  six 
per  cent.  That  is,  her  income  was  $900.00.  The  farm  had  been  taxed 
$77.00,  but  the  widow's  investments,  under  identically  the  same  rate, 
were  taxed  $210.00.  This  left  her  for  the  maintenance  of  herself  and 
the  three  children  $690.00  a  year.  We  are  of  opinion  that  the  tax  was 
excessive,  although  the  rate  was  somewhat  less  than  the  average  rate 
in  the  State. 

Three  years  ago  a  clergyman  in  one  of  our  cities  was  compelled  by 
reason  of  age  and  failiner  health  to  resign  his  charge.  For  many  years 
it  had  been  his  ambition  to  make  such  provision  for  his  declining  years 
as  would  prevent  his  becoming  dependent  on  the  church,  his  friends,  or 
the  public.  By  rigid  economy  and  the  aid  of  two  small  legacies  he  had 
become  possessed  of  $10,000.00,  from  which  his  income  on  retirement 
was  $512.00  a  year.  He  paid  $300.00  a  year  for  food  and  lodging,  and 
$170.00  in  taxes.  This  left  him  just  $3.50  a  month  for  clothing,  church 
dues,  charity,  medicines,  and  the  gratification  of  the  tastes  of  a  refined 
and  scholarly  gentleman,  who  had  fought  four  years  for  the  State,  and 
served  more  than  forty  years  as  a  minister  of  the  Gospel.  We  submit 
that  in  this  case  also  the  tax  was  too  high. 

Bad  Effects  of  the  Present  Tax. 

We  have  selected  these  illustrations  because  they  are  typical  of  the 
way  in  which  different  classes  of  our  people  are  affected  by  the  tax  on 
intangible  property  when  the  tax  law  is  administered.  We  might  mul- 
tiply them  indefinitely,  but  we  believe  they  suffice  to  show  three  things. 


Chapter  II — The  Taxation  of  Personal  Property.  55 

First,  the  tax  prevents  much  capital  from  coming  into  the  State. 

Second,  it  compels  much  capital  now  in  the  State  to  lie  concealed  or 
to  move  out  of  it. 

Third,  it  is  unjustly  burdensome  to  honest  people  of  all  classes  and 
particularly  oppressive  to  those  of  small  means. 

Methods  of  Reform  Tried  in  Other  States. 

To  make  clear  our  reasons  for  the  changes  we  recommend  in  this 
tax  we  wish  to  call  attention  very  briefly  to  the  methods  of  reform  that 
have  been  tried  elsewhere.  Three  policies  may  be  distinguished  among 
governments  at  the  present  time. 

1.  Stringent  Administration. 

The  main  features  of  the  first  policy  may  be  best  studied  in  the  tax 
history  of  Ohio.  It  aims  to  collect  a  tax  at  a  uniform  rate  on  property 
of  all  classes  and  to  perfect  the  administration  in  such  a  way  as  to  drive 
intangible  property  from  its  hiding  places.  To  that  end  a  former  Ohio 
law  required  each  tax  payer  to  list  under  oath  his  personal  property 
and  its  value,  and  empowered  the  county  auditor  to  summon  him  before 
the  probate  court,  where  he  was  to  answer  under  penalty  for  contempt 
of  court  any  question  with  regard  to  his  personalty  that  the  auditor 
might  ask.  Furthermore,  the  auditor  might  summon  a  bank  cashier  or 
anyone  else  supposed  to  be  acquainted  with  the  taxpayer's  affairs  and 
compel  him  also  to  testify  under  oath.  Such  an  investigation  might 
cover  the  preceding  five  years,  and  if  evasions  or  false  statements  were 
discovered,  the  taxpayer  was  liable  for  back  taxes  during  that  period, 
with  a  penalty  added  of.  fifty  per  cent.  Some  years  later  the  legislature 
provided  that  county  officers  might  employ  tax  inquisitors  who  were  to 
seek  out  by  any  means  in  their  power  all  property  that  was  evading  the 
law,  and  as  compensation  these  inquisitors  were  to  receive  a  share  of  the 
taxes  collected  through  their  efforts.  As  a  recent  writer  has  said,  the 
only  known  expedient  that  Ohio  seems  to  have  overlooked  was  the  use 
of  torture  such  as  was  used  in  the  Roman  empire  to  force  taxpayers 
to  disclose  their  estates. 

The  results  of  this  policy  were  worse  than  useless,  for  many  property 
owners  were  driven  from  the  State ;  the  tax  inquisitor  law  is  said  to  have 
given  rise  to  extensive  blackmail ;  and  in  1909  the  amount  of  intangible 
property  assessed  was  many  millions  of  dollars  less  than  it  had  been  a 
quarter  of  a  century  before.  So  long  as  the  rate  of  the  tax  was  two  and 
one-half  per  cent,  no  human  device  was  able  to  extort  it  from  any  save 
the  weak  and  helpless.  The  Constitution  recently  adopted  in  Ohio  has 
retained  a  stringent  tax  administration,  but  greatly  softened  and  irn 
proved  its  methods.  It  also  retained  a  uniform  tax  rate  on  all  property, 
but  it  lowered  that  rate  by  more  than  fifty  per  cent.  In  consequence  of 
these  reforms  the  assessed  value  of  intangible  property  in  1913  though 
still  very  low  for  a  state  as  rich  as  Ohio,  was  more  than-  double  what 
it  had  been  in  1909. 

The  experience  of  all  other  states  that  have  tried  the  policy  outlined 


56  Report  of  Committee  on  Tax  Revision. 

above  has  been  similar  to  that  of  Ohio  and  Virginia.    Efforts  to  enforce 
it  strictly  have  invariably  done  more  harm  than  good. 

2.  Exemption  from  Direct  Taxation. 

The  second  policy  that  has  been  developed  in  this  field  consists  in 
exempting  intangible  property  from  direct  taxation  and  attempting  to 
reach  it  by  indirect  methods.  European  governments  have  advanced 
furthest  in  this  direction,  but  certain  States  of  the  Union  have  also 
made  progress  in  it.  Wisconsin,  indeed,  has  gone  so  far  as  to  substitute 
an  income  tax  for  the  tax  on  intangible  property.  But,  as  commonly 
found,  this  policy  is  based  on  the  theory  that  a  well  devised  system  of 
corporation  taxes,  recording  taxes  or  stamp  taxes,  and  the  like,  will 
automatically  bring  about  a  shifting  of  the  burden  of  the  payment  on 
property  to  the  true  owner,  where  it  belongs. 

We  are  of  the  opinion  that  it  is  possible  to  construct  such  a  system 
as  would  accomplish,  at  least  in  large  measure,  the  purpose  in  view;  but 
we  present  no  bill  to  that  end  for  two  reasons.  In  the  first  place,  no 
such  system  can  be  planned  and  the  different  parts  and  elements  be  so 
adjusted  and  correlated  as  to  work  without  friction  and  give  justice  to 
the  interests  concerned  without  an  investigation  and  analysis  of  con- 
ditions that  should  extend  over  a  period  far  longer  than  that  for  which 
our  Committee  was  created.  Indeed,  an  attempt  to  put  such  a  system 
at  once  into  operation  as  a  whole  would  be  at  any  time  unwise.  It 
should  be  developed  gradually,  if  at  all,  by  tentative  steps  the  effect 
of  which  could  be  observed  over  a  period  long  enough  to  test  their 
wisdom.  We  should  carefully  study  during  the  next  few  years  the  develop- 
ments proceeding  now  in  other  states,  whose  progress  has  been  more 
rapid  than  our  own,  and  profit  by  their  experience. 

The  second  reason  why  we  make  no  recommendation  based  on  this 
policy  is  that  our  Constitution  requires  that  all  property  shall  be  taxed, 
except  such  as  is  specifically  exempted  by  that  instrument.  We  do  not 
consider  it  within  our  province  to  recommend  action  that  would  require 
an  amendment  to  the  Constitution. 

3.  A  Very  Low  Tax  Rate. 

The  third  policy  that  has  had  a  marked  development  involves  the 
taxing  of  intangibles  at  a  much  lower  rate  than  other  property.  ,The 
plan  appears  to  be  based  primarily  on  the  ground  of  expediency.  Since 
the  greater  part  of  this  class  of  property  will  evade  all  payments  if 
taxed  at  the  full  rate,  it  is  held  that  the  interest  of  the  government 
demands  the  lowering  of  the  rate  to  the  point  where  the  tax  will  yield 
an  appreciable  revenue.  In  justification  it  is  urged  that  the  assessment 
of  real  estate  and  tangible  personalty  are  always  much  lower  than  the 
assessment  of  intangibles,  and  therefore  a  different  rate  is  fairly  appli- 
cable. Furthermore,  it  is  argued,  a  tax  on  credits  and  securities  is 
after  all  double  taxation,  since  these  things  are  merely  evidences  of  a 
claim  on  property  that  is  already  taxed.  This  policy  appears  to  have 
grown  in  popularity.  Twenty-five  years  ago  Connecticut  reduced  the 


Chapter  II — The  Taxation  of  Personal  Property.  57 

rate  on  bonds,  notes  and  other  choses  in  action  to  twenty  cents  on  the 
one  hundred  dollars;  and  in  eighteen  hundred  and  ninety-seven  the  rate 
was  raised  to  forty  cents,  where  it  still  remains.  Pennsylvania  likewise 
has  long  taxed  intangible  property  at  a  rate  of  forty  cents.  New  York 
permits  the  payment  on  mortgages  and  other  secured  debts  of  one  half 
of  one  per  cent,  (fifty  cents  on  the  one  hundred  dollars)  in  lieu  of  all 
other  taxes,  and  this  procures  exemption  for  the  life  of  the  debt.  Mary- 
land, Minnesota  and  Iowa  have  also  reduced  the  rate  on  property  of 
this  class  greatly  below  that  on  other  classes. 

For  obvious  reasons  this  policy  has  always  produced  a  great  increase 
in  the  quantity  of  intangible  property  assessed.  So  great  has  been,  this 
increase  that  the  low  rate  has  seldom  caused  a  material  loss  of  revenue; 
on  the  contrary,  particularly  when  the  rate  has  been  in  operation  long 
enough  to  accomplish  its  full  effect,  the  revenue  has  usually  shown  some 
gain.  Regarded  merely  as  a  fiscal  measure  the  plan  seems  to  have  been 
a  success.  We  believe,  however,  that  the  rates  adopted  in  most  of  the 
states  mentioned  above,  most  particularly  in  New  York,  are  too  low; 
that  they  throw  an  unjust  burden  upon  the  classes  taxed  at  a  higher  rate, 
and  that  a  tax  on  intangible  property  of  forty  cents  is  no  easier  to  collect 
than  a  somewhat  higher  tax  would  be. 

The  Proper  Rate  for  Virginia. 

None  of  the  policies  now  in  operation  commend  themselves  to  us 
in  toto,  but  there  are  certain  features  of  each  that  we  recommend  as 
arvplicable  to  the  conditions  in  Virginia. 

Justice  and  expediency  both  demand  that  the  rate  shall  be  lowered. 
We  recommend  for  all  intangible  property  embraced  in  "Schedule  C," 
with  three  exceptions  to  be  noted  presently,  a  uniform  rate  throughout 
the  Commonwealth  of  one  dollar  on  the  one  hundred  dollars.  This 
would  be  a  reduction  of  thirty-three  and  one-third  per  cent,  of  the  average 
rate  now  pievalent  in  the  different  counties  and  cities.  We  propose 
a  uniform  rate  for  two  reasons :  first,  to  prevent  discrimination  by  local 
authorities ;  and  second,  to  prevent  evasion  of  taxes  by  fictitious  removals 
from  place  to  place. 

We  admit  that  as  compared  with  the  tax  now  collected  from  other 
classes  of  property  the  rate  we  recommend  is  still  too  hisrh.  Several 
considerations,  however,  led  us  to  agree  upon  it.  In  the  first  place,  we 
had  to  take  account  of  the  revenue  necessities  of  government.  The  ex- 
perience of  our  first  year  under  an  exceedingly  low  tax  rate  on  money 
deposits  did  not  encourage  us  to  believe  that  increased  assessments  of 
other  intangibles  under  a  low  tax  would  prevent  during  some  years  a 
serious  loss  that  would  confuse  the  fiscal  affairs  of  the  State  and  the 
localities.  Again,  we  do  not  believe  that  public  opinion  has  been  pre- 
pared by  adequate  discussion  to  accept  the  seeming  discrimination  that 
is  indicated  by  a  wide  divergence  of  rates,  and  it  would  hardly  be  the 
part  of  wisdom  to  adopt  a  measure  that  would  be  nullified  by  hostile 
sentiment.  Furthermore  the  reduction  we  recommend,  though  perhaps 
less  than  the  owners  of  intangible  property  might  in  justice  demand, 
would  afford  them  great  relief  from  their  present  burdens.  And  finally, 


58  Report  of  Committee  on  Tax  Revision. 

we  hope  that  the  administrative  reforms  we  elsewhere  recommend  will 
brm£  about  fairer  assessments  and  thereby  render  possible  lower  tax 
rates  on  property  of  this  and  of  all  other  classes.  To  this  last  considera- 
tion we  attach  great  importance.  Our  present  system  throws  the  greater 
part  of  the  whole  tax  burden  on  the  owners  of  such  property  as  can  be 
seen  and  located.  They  do  not  escape  this  burden  by  low  assessments, 
for  low  assessments  compel  higher  tax  rates.  These  rates  are  now  such 
as  to  drive  intangible  property  into  concealment,  so  that  it  is  after  all 
the  farmers  and  owners  of  other  real  estate  and  property  readily  found 
that  must  inevitably  pay.  It  is  onlv  by  just  assessments  and  fair  rates 
on  all,  that  intangible  property  can  be  made  to  assume  its  share  of  the 
burden,  and  that  corresponding  relief  can  be  afforded  to  those  now  bear- 
ing an  unjust  portion  of  it. 

The  Tax  on  Deposits. 

From  our  recommendation  of  a  uniform  rate  of  one  per  cent,  we 
have  excepted  three  classes  of  intangible  property. 

The  first  exception  is  "monev  on  deposit  or  otherwise."  The  act  of 
the  present  year  fixing  the  rate  of  twenty  cents  on  this  class  of  property 
was  passed  by  the  same  members  of  the  General  Assembly  who  will  con- 
sider this  report.  It  was  thoroughly  discussed  before  its  passage,  and 
we  have  no  reason  to  suppose  that  arguments  that  convinced  the  General 
Assembly  of  its  wisdom  in  January  would  weigh  less  at  the  present  time. 
Furthermore,  we  regard  it  as  a  wise  experiment  to  try  on  one  class  of 
intangible  property  the  effect  of  a  very  low  rate,  and  the  act  has  not 
yet  been  in  force  long  enough  for  its  full  -effect  to  be  shown.  Such  an 
experiment  works  no  appreciable  injustice  and  does  not  greatlv  affect  the 
State's  revenues,  while  its  results  may  be  of  no  little  use  to  the  framers 
of  future  legislation. 

The  Tax  on  Municipal  Securities. 

The  next  exception  consists  of  the  bonds,  notes  and  other  evidences 
of  debt  of  our  counties,  cities  and  towns.  In  twenty-four  states  such 
securities  are  entirely  exempt  from  taxation,  and  these  states  embrace 
forty-one  of  the  principal  American  cities.  In  Virginia  it  is  customary 
for  our  localities  to  exempt  their  own  bonds  in  the  hands  of  their  own 
residents;  but  these  bonds  are  taxable  by  all  other  localities  where  they 
may  be  held,  as  well  as  by  the  State.  The  result  is  that  the  Common- 
wealth affords  a  poor  market  for  securities  of  its  own  municipalities, 
and  consequently  a  great  part  of  them  have  to  be  disposed  of  in  other 
states.  This  naturally  causes  a  higher  rate  of  interest  than  would  other- 
wise be  necessary,  and  deprives  the  government  of  all  revenue  whatsoever 
fj-om  securities  so  disposed  of.  Thus  the  attempt  to  raise  revenue  from 
them  at  the  current  local  rates  defeats  its  own  purpose,  at  the  same 
time  that  it  greatly  hampers  the  praiseworthy  policies  of  many  pro- 
gressive localities.  Since  the  Constitution  requires  that  all  property 
be  taxed,  we  recommend  that  this  class  of  intangible  property  be  re- 
quired to  pay  only  the  present  State  tax  in  lieu  of  all  others. 


Chapter  II — Tlie  Taxation  of  Personal  Property.  59 

The  Tax  on  Mortgages. 

We  turn  to  the  third  class  excepted  from  the  proposed  rate  of  one 
per  cent.,  which  consists  of  mortgages  of  a  certain  character,  and  on 
which  we  recommend  a  State  tax  of  thirty-five  cents  in  lieu  of  all  other 
taxes.  We  freely  admit  that  this  recommendation  is  based  on  grounds 
of  public  policy  rather  than  fiscal  considerations;  but  at  the  same  time 
we  believe  that  the  State's  revenue  will  materially  benefit  by  its  adoption. 
It  has  given  us  great  difficulty  to  define  in  words  the  class  of  mortgages 
to  which  we  wish  the  low  rate  to  apply. 

It  was  in  our  minds  to  furnish  relief  to  the  relatively  small  borrower 
who  can  offer  as  security  only  his  home  or  farm  or  some  similar  prop- 
erty. Such  security  from  such  a  borrower  is  apt  to  be  as  safe  as  any 
in  the  world.  But  it  is  verv  often  difficult  for  him  to  effect  a  loan,  be- 
cause he  and  his  property  are  not  known  outside  of  the  locality  where 
he  resides.  Sometimes  he  wants  the  money  in  order  to  achieve  improve- 
ments and  betterments  in  property  that  he  already  has;  but  very  often 
he  seeks  it,  not  with  a  view  to  investing  it  or  using  it  in  such  a  way 
that  it  will  earn  a  larger  percentage  than  the  interest  he  pays  on  it,  but 
rather  to  acquire  a  home,  to  tide  over  an  emergency,  or  to  retain  pos- 
session of  property  to  which  he  alreadv  has  a  title.  Particularly  in  our 
rural  regions  such  a  borrower  is  at  a  great  disadvantage,  unless  he 
happens  to  know  personally  some  one  who  is  able  and  willing  to  lend 
him  the  money  he  needs.  Usuall}?",  as  is  well  known,  he  must  apply  to 
a  lawyer  or  to  some  other  agent  to  whom  he  pays  a  fee  or  brokerage 
charge  of  from  two  to  five  per  cent  in  addition  to  paying  on  the  money 
borrowed  the  highest  rate  of  interest  that  the  law  allows.  Indeed,  it 
appears  that  in  some  regions  the  law  is  evaded,  and  interest  is  paid  con- 
siderably above  the  legal  rate.  Furthermore,  such  loans  while  difficult 
and  costly  for  the  borrower,  are  not  very  attractive  to  the  lender.  By 
reason  of  its  local  nature  the  security  is  hard  to  negotiate.  The  lender 
finds  it  often  impossible  and  always  difficult  to  get  back  his  money 
before  the  due  date  of  the  mortgage.  When  once  he  has  lent  it  on  a 
mortgage  of  this  character,  it  is  tied  up  for  from  eighteen  months  to 
three  or  five  years,  according  to  the  custom  established  for  such  loans  in 
his  locality. 

We  hold  that  such  loans  are  in  a  different  class  from  the  bonds  for 
large  loans,  whether  issued  in  series  or  othorwise,  that  are  secured  by 
mortgage  upon  the  property  of  a  great  corporation  or  upon  other  prop- 
erty that  is  widely  known,  or  which  can  be  easily  examined  and  its 
value  ascertained.  Such  bonds  have  a  wide  and  ready  market;  they 
pass  from  hand  to  hand  almost  as  freely  as  currency  itself;  the  rate  of 
interest  on  them  in  Virginia  is  often  more  than  thirty  per  cent,  lower 
than  on  farm  mortgages ;  they  usually  represent  loans  that  are  contracted 
for  productive  purposes;  and  in  many  other  respects  they  enjoy  a  dis- 
tinct advantage  over  the  small  local  mortgage.  But  the  two  classes 
shade  into  each  other  by  such  imperceptible  degrees  that  it  is  very 
diliicult  to  draw  the  line  between  them  without  appearing  to  effect  a 
purely  arbitrary  discrimination  between  the  instruments  falling  nearest 
together  on  each  side  of  the  line.  The  result  of  our  efforts  to  make  a 


60  Report  of  Committee  on  Tax  Revision. 

reasonable  discrimination  appears  in  the  first  class  'of  "Schedule  C," 
which  we  have  re-classified  so  as  to  provide  for  the  exceptions  to  the 
uniform  tax  rate,  and  which  appears  later  in  this  chapter. 

Administrative  Reforms. 

With  a  few  pleasing  exceptions  the  assessment  of  intangible  property 
is  now  made  by  the  owner  of  it.  It  has  long  been  the  custom  for  most 
commissioners  of  the  revenue  to  accept  without  question  the  declaration 
of  the  tax  payer,  and  no  means  whatever  is  provided  for  aiding  the 
commissioner  to  check  the  accuracy  of  it.  Under  this  practice  the 
custom  of  evasion  has  become  so  deeprooted  and  widespread. that  merely 
to  lower  the  tax  rate  would  hardly  suffice  to  secure  the  proper  listing 
of  property.  Therefore,  the  bill  we  propose  provides  that  when  property 
not  listed  by  the  tax  payer  is  subseauently  discovered,  it  shall  be  taxed, 
not  at  one  per  cent.,  but  at  the  highest  rate  fixed  for  property  of  any 
class  in  the  locality  where  the  tax  payer  resides,  and  that  the  tax  shall 
be  collected  for  all  the  years  during  which  the  owner  has  failed  to  list 
it.  Furthermore,  we  recommend  that  the  law  regarding  recovery  by  suit 
on  evidences  of  debt  be  amended  so  as  to  require  the  plaintiff  to  establish 
as  part  of  the  groof  of  his  claim  the  fact  that  all  matured  taxes  on  it 
have  been  paid.  That  this  may  not  work  undue  hardship  upon  the 
plaintiff  the  proposed  amendment  provides  that  the  certificate  of  the 
proper  treasurer  showing  that  the  taxes  have  been  paid  shall  be  prima 
facie  evidence  of  the  payment.  The  law  has  long  provided  that  there 
could  be  no  recovery  by  suit  on  evidences  of  debt  on  which  the  taxes 
have  remained  unpaid,  but  the  provision  seems  to  have  fallen  into  general 
disuse.  We  believe  that  by  making  the  proof  of  tax  payments  a  part  of 
the  proof  of  the  claim  itself,  the  intent  of  the  law  will  be  more  effectively 
administered.  In  the  next  place,  we  propose  certain  minor  amendments 
to  those  suctions  of  the  code  relating  to  the  duties  of  the  commissioners 
of  the  revenue.  The  purpose  of  the  amendments  is  to  classify  and 
strengthen  the  mandatory  character  of  the  provisions  of  the  law,  and 
to  define  more  accurately  the  commissioner's  duties.  With  regard  to 
the  class  of  deeds  of  trust  or  mortgages  described  above,  we  recommend 
that  the  tax  be  collected  at  the  time  the  instrument  is  recorded.  We 
also  recommend  that  the  returns  by  tax  payers  to  the  commissioners  shall 
be  reviewed  by  examiners  of  the  records,  who  in  the  discharge  of  the 
duties  already  devolving  upon  them  acquire  much  information  that 
should  be  used  in  the  assessment  of  intangible  property. 

We  should  expect  from  the  adoption  of  these  proposed  measures  an 
improvement  of  conditions  in  the  taxation  of  intangible  property.  But 
the  members  of  this  committee  are  unanimous  in  the  belief  that  far 
reaching  reform  cannot  be  accomplished  unless  there  be  created  a  State 
tax  board  or  commission,  whose  composition  and  powers  will  be  such 
as  will  enable  it  to  exercise  a  close  and  intelligent  supervision  over  the 
administration  of  the  tax  laws.  If  the  General  Assembly  should  see  fit 
to  segregate  intangible  property  for  exclusive  State  taxation,  the  func- 
tions of  the  State  tax  board  in  this  field  will  have  greatly  increased 
importance. 


Chapter  II — The  Taxation  of  Personal  Property.  63 

Segregation  of  Intangible  Property  for  State  Taxation. 

In  the  plan  presented  in  another  chapter  providing  for  a  system  of 
partial  segregation,  we  have  assigned  intangible  property  to  the  list  of 
sources  of  State  revenue.  While  this  measure  is  new  and  thus  far  un- 
tried, we  believe  that  we  have  sufficient  reason  for  the  assignment.  The 
act  creating  this  Committee  made  it  mandatory  that  we  report  a  general 
system  of  taxation  "upon  the  lines  of  segregating  certain  subjects"  to 
the  use  of  the  Commonwealth,  and  others  to  the  use  of  the  localities. 
The  essential  feature  of  such  a  system,  as  it  exists  in  some  other  States, 
is  found  in  the  reliance  of  the  State  upon  taxes  derived  from  corpora- 
tions, which  enables  it  to  leave  real  estate  for  almost  exclusively  local 
taxation.  After  careful  investigation  we  did  not  find  it  expedient,  for 
reasons  set  forth  in  the  chapters  on  banks  and  public  service  corpora- 
tions, to  recommend  that  the  total  yield  of  the  corporation  taxes  be 
assigned  to  the  State.  Therefore,  in  order  that  real  estate  and  tangible 
personalty  might  be  made  to  bear  only  a  local  tax,  there  was  no  other 
means  of  bringing  the  State's  revenues  within  reasonable  approximation 
to  its  needs  than  the  assignment  to  the  State  of  the  whole  tax  on  prop- 
erty included  in  "Schedule  C." 


62  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  impose  additional  duties  upon  the  examiners  of  records  of  the  several 
judicial  circuits,  with  reference  to  the  review  of  assessments  made 
by  the  commissioners  of  the  revenue  of  intangible  personal  property 
and  incomes  of  persons,  firms  or  corporations  of  their  respective 
judicial  circuits. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  the  exam- 
iner of  records,  in  addition  to  the  duties  now  imposed  by  law,  shall 
annually  review  the  intangible  personal  property  and  income  returns  as- 
sessed by  the  commissioners  of  revenue,  and  shall  examine  the  records, 
both  State  and  Federal,  within  their  respective  circuits  and  elsewhere, 
with  a  view  of  ascertaining  and  reporting  for  taxation  any  and  all 
intangible  property  and  incomes  not  returned  or  omitted  from  assess- 
ments in  the  returns  of  any  person,  firm  or  corporation  to  the  several 
commissioners  of  the  revenue   and  report  the  same  for  taxation. 

2.  As  soon  as  such  examinations  and  valuations  are  made,  the  exam- 
iner of  records,  under  the  terms  and  provisions  of  the  act  creating  that 
office,  shall  make  report  thereof  to  the  commissioner  of  the  revenue  of 
the  county  or  city  for  which  such  examinations  are  made,  in  such  form 
as   shall   be   prescribed  by   the  ,   and   there- 
upon such  commissioner  of  the  revenue  shall  enter  upon  his  personal 
property  books  the  name  of  the  party  chargeable  with  said  tax  on  omitted 
assessment  or  income  with  the  valuation  as  ascertained,  and  assess  the 
taxes  thereon  as  if  such  intangible  property  or  income  had  been  listed 
by  the  individual  person,  firm  or  corporation.    The  examiner  of  records, 
if  he  have  information  of  an  improper  assessment  or  grounds  to  believe 
such  assessment  is  improper,  or  that  an  assessment  has  been  omitted, 
shall  report  such  information  or  grounds  to  the 

;  and  if  it  direct  such  investigation,  he  then  shall  have  authority 
to  summon  the  tax  payer,  or  his  agent  or  any  person  having  information 
on  the  subject,  before  him,  and  require  him  to  answer  under  oath  any 
questions  touching  the  ownership  of  intangible  property  or  income  held 
by  such  person,  firm  or  corporation,  and  the  valuation  of  said  property, 
and  should  the  person.,  firm  or  corporation,  agent  or  witness  refuse  to 
furnish  the  information  requested,  such  person,  firm,  or  corporation, 
agent  or  witness  shall  be  liable  to  a  fine  of  not  less  than  ten  and  not  more 
than  one  hundred  dollars,  to  be  recovered  as  other  fines  due  the  Com- 
monwealth. 

3.  The  answers  required  under  oath  of  the  person,  firm,  corporation, 
agent  or  witness  shall  not  be  disclosed  except  by  the  order  of  the 

,  or  unless  called  for  by  a  court  of  record. 

4.  If  any  person,  firm,  corporation  or  agent  consider  himself  ag- 
grieved by  such  assessment  or  valuation,  the  same  shall  be  corrected 


Chapter  II — The  Taxation  of  Personal  Property.  63 

under  the  provisions  of  sections  five  hundred  and  sixty-seven  and  five 
hundred  and  sixty-eight  of  the  code  of  Virginia,  as  amended. 

5.  The  examiner  of  records  shall  be  entitled  to  receive  as  compen- 
sation for  his  services  under  this  act,  to  be  paid  in  the  same  manner  as 
the  compensation  is  now  paid  to  them  under  the   act  creating  such 
officers,  a  commission  of  one  tenth  (1/10)   of  one  per  centum  for  the 
first  one  and  a  half  million  dollars  of  aggregate  amount  of  property 
assessed  uuaer  this  act,  and  one  twentieth  (1/20)   of  one  per  centum 
on  all  amounts  in  excess  of  one  and  a  half  million  dollars ;  provided,  the 
examiner  of  records  shall  refund  and  pay  into  the  treasury  the  compen- 
sation paid  him  on  all  property  hereafter  reported  by  him  that  shall  be 
relieved  of  taxes  erroneously  assessed  thereon  and  the  compensation  paid 
him  on  all  property  upon  which  the  taxes  hereafter  assessed  are  not 
collected  and  are  returned  delinquent,  and  shall  be  liable  therefor  under 
the  bond  required  by  law  to  be  executed. 

6.  All  acts  or  parts  of  acts  inconsistent  with  this  act  are  hereby 
repealed. 


64  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  provide  for  the  taxation  of  bonds,  notes,  and  other  evidences  of  debt, 
of  individuals  or  corporations,  and  all  other  demands  and  claims 
however  evidenced,  representing  the  principal  debt  or  obligation, 
secured  by  deed  of  trust,  mortgage,  or  vender's  lien  on  real  estate 
or  personal  property,  situated  or  located  in  this  State,  the  due  date 
of  which  is  five  years  or  less. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  all  bonds, 
notes,  and  other  evidences  of  debt,  of  individuals  or  corporations,  and 
all  other  demands  and  claims  however  evidenced,  representing  the  prin- 
cipal debt  or  obligation,  secured  by  deed  of  trust,  mortgage   or  vendor's 
lien  on  real  estate  or  personal  property,  situated  or  located  in  this  State, 
the  due  date  of  which  is  five  years  or  less,  are  hereby  segregated  for  the 
purpose  of  taxation  from  each  and  every  other  kind  or  class  of  intangible 
personal  property,  and  are  hereby  declared  to  be  a  separate  and  distinct 
subject  of  taxation  within  the  purview  of  the  said  section  one  hundred 
and  sixty-nine  of  the  Constitution  of  this  State,  and  all  such  evidences 
of  debt,  secured  on  real  estate  or  personal  property,  situated  or  located 
in  this  State,  the  due  date  of  which  is  five  years  or  less,  shall  be  taxed 
as  herein  provided,  and  shall  be  exempt  from  all  other  taxation  by  the 
State,  counties,  cities,  towns,  school  districts  and  other  local  sub-divisions 
of  this  State,  except  as  herein  provided ;  but  nothing  herein  shall  exempt 
such  property  from  the  operation  of  the  laws  relating  to  the  taxation 
of  inheritances,  or  those  governing  the  taxation  of  banks,  trusts  and 
security  companies,  or  insurance  companies,  nor  shall  the  exemption  con- 
ferred by  this  section  be  construed  to  impair  or  in  any  manner  affect  the 
title  of  any  purchaser  of  land  or  real  estate  which  may  be  sold  for  non- 
payment of  taxes  or  levies  thereon  by  this  State,  or  any  political  sub- 
division thereof.     Provided,  that  this  act  shall  not  apply  to  deeds  of 
trust,  mortgages  or  vendor's  liens  taken  in  good  faith  by  persons  or 
corporations  whose  personal  property  is  expressly  exempted  from  taxa- 
tion by  the  Constitution. 

2.  That  in  addition  to  the  recording  tax  imposed  by  section  thirteen 
of  an  act  of  the  general  assembly  of  Virginia,  approved  April  sixteenth, 
nineteen  hundred  and  three,  entitled  "an  act  to  raise  revenue  for  the 
support  of  the  government  and  to  pay  interest  on  the  public  debt  and  to 
provide  a  special  tax  for  pensions  as  authorized  by  section  one  hundred 
and  eighty-nine  of  the  Constitution,"  an  annual  property  tax  of  thirty- 
five  cents  is  hereby  imposed  upon  each  hundred  dollars  and  each  re- 
maining fraction  thereof,  of  the  principal  debt  or  obligation  which  is,  or 
under  any  contingency  may  be,  secured  by  any  deed  of  trust,  mortgage, 
or  vendor's  lien,  conveying  real  estate  or  personal  property,  situated  or 
located  in  this  State,  the  due  date  of  which  principal  debt  or  obligation 


Chapter  II — The  Taxation  of  Personal  Property.  65 

is  five  years  or  less,  which  is  recorded  on  or  after  the  first  day  of  July, 
nineteen  hundred  and  fifteen,  and  shall  be  collected  and  paid  as  provided 
for  in  this  act.  If  the  principal  debt  or  obligation  which  is  or  by  any 
contingency  may  be,  secured  by  any  such  deed  of  trust,  mortgage  or  ven- 
dor's lien,  recorded  on  or  after  the  first  day  of  July,  nineteen  hundred 
and  fifteen,  is  less  than  one  hundred  dollars,  an  annual  property  tax 
of  thirty-five  cents  is  hereby  imposed  on  said  bond,  note  or  other  evi- 
dence of  debt,  and  shall  be  collected  and  paid  as  provided  in  this  act. 

3.  That  the  property  taxes  imposed  by  this  act,  representing  the 
principal  debt  or  obligation,  secured  by  deed  of  trust,  mortgage  or 
vendor's  lien  on  real  estate  or  personal  property,  situated  and  located  in 
this  State,  the  due  date  of  which  principal  debt  or  obligation  is  five 
years  or  less,  shall  be  due  and  payable  for  each  and  all  such  years, 
according  to  the  fact,  at  the  time  of  the  recordation  of  each  such  deed 
of  trust,  mortgage  or  vendor's  lien  conveying  real  estate  or  personal 
property  subject  to  taxes  hereunder  and  which  at  the  time  of  the  recorda- 
tion of  any  such  instrument  shall  be  deemed  and  held  as  levied  for  the 
year  or  years  to  accrue  within  said  due  date  period  of  five  years  or 
less,  reckoning  from  the  beginning  of  the  tax  year  on  February  first, 
provided  that  in  case  the  due  date  of  any  such  principal  debt  or  obliga- 
tion shall  be  made  at  less  than  one  year,  the  said  tax  shall  be  paid 
thereon  for  one  year  at  the  rate  herein  provided.  All  such  property 
taxes  shall  be  paid  to  the  recording  officer  of  any  county  or  city  in  which 
the  real  estate  or  personal  property,  or  any  part  thereof  is  situated, 
but  such  tax  shall  be  levied  and  the  same  shall  be  collected  by  the  record- 
ing officer  of  the  county  or  city  in  which  the  instrument  is  first  recorded. 
It  shall  be  the  duty  of  the  recording  officer  to  endorse  upon  each  such 
deed  of  trust,  mortgage  or  vendor's  lien  by  which  any  such  principal 
debts  or  obligations  are  secured,  a  receipt  for  the  amount  of  the  property 
tax  so  paid,  and  its  form  in  substance  shall  be  "property  tax  on  the  prin- 
cipal debt  or  obligation  secured  hereby  of dollars  paid." 

If  the  principal  debt  or  obligation  secured  by  any  such  deed  of  trust, 
mortgage  or  vendor's  lien  be  exempt  from  taxation  the  endorsement 
shall  be  "exempt  from  property  tax."  In  case  the  recording  officer  shall 
be  unable  to  determine  whether  a  claim  of  exemption  should  be  allowed 
the  said  tax  shall  be  paid,  to  be  held  by  such  recording  officer  to  abide 
the  order  of  the  circuit  or  corporation  court  of  such  county  or  city,  made 
upon  motion  of  the  Commonwealth's  attorney,  or  of  the  claimant  upon 
notice,  as  required  by  the  court.  Any  deed  of  trust,  mortgage  or  vendor's 
lien  embraced  within  the  terms  of  this  act,  when  endorsed  as  herein 
provided,  may  thereupon  or  thereafter  be  recorded  by  any  recording 
officer.  The  recording  of  such  receipt,  or  the  endorsement  of  the  clerk 
on  any  such  deed  of  trust  or  vendor's  lien  showing  the  receipt  of  such 
property  tax,  shall  be  conclusive  proof  that  the  amount  of  tax  stated 
therein  has  been  paid  upon  such  mortgage,  deed  of  trust  or  vendor's  lien. 
4.  That  no  deed  of  trust,  mortgage  or  vendor's  lien  conveyino-  reai 
estate  or  personal  property,  situated  or  located  in  this  State,  to  secure 
bonds,  notes,  and  other  evidences  of  debt,  of  individuals  or  corporations 
the  due  date  of  which  is  five  years  or  less,  shall  be  recorded  by  any 
recording  officer  of  any  county  or  city  in  this  State,  unless  and  until  there 


Report  of  Committee  on  Tax  Revision. 


shall  be  paid  the  property  tax  imposed  by  and  as  in -this  act  provided,, 
which  is  hereby  declared  to  be  the  property  tax  on  all  such  evidences 
of  debt,  and  shall  not  be  construed  to  be  a  registry  or  recording  tar 
within  the  meaning  of  the  Constitution. 

5.  No  such  deed  of  trust,  mortgage  or   vendor's  lien,   nor  papers 
relating  to  its  foreclosure,  nor  any  assignment  of  release  or  satisfaction 
thereof,  shall  be  recorded  or  registered  after  the  first  day  of  July,  nine- 
teen hundred  and  fifteen,  unless  said  property  tax  shall  have  been  paid; 
nor  shall   any  such  document,  or  any  record  thereof,   be  received   in 
evidence  in  any  court,  or  have  any  validity  as  notice  or  otherwise. 

6.  That  in  the  case  of  a  deed  of  trust,  mortgage  or  vendor's  lien  of 
real  estate  or  personal  property  to  secure  bonds,  notes,  or  other  evidences 
ol  debt,  recorded  prior  to  the  first  day  of  July,  nineteen  hundred  and 
fifteen,  if  the  holder  or  holders  (or  their  agents  or  attorneys)  of  such 
bonds,  notes,  or  other  evidences  of  debt,  representing  the  principal  debt 
or  obligation,  the  due  date  of  which  is  five  years  or  less,  secured  by  any 
such  instrument,  shall  present  the  same,  or  a  certified  copy  thereof,  to- 
the  clerk  of  the  court  wherein  such  instrument  has  been  first  recorded 
and  shall  pay  to  the  said  clerk  the  property  tax  prescribed  by  this  act 
upon  the  principal  debt  or  obligation  secured  by  such  instrument,  in 
the  manner  herein  provided,  then  such  bonds,  notes,  and  other  evidences- 
of  debt  shall  be  exempt  from  all  other  taxation  as  provided  herein. 

7.  That  the  property  tax  of  thirty-five  cents  on  each  hundred  dollars 
and  on  each  remaining  fraction  thereof  as  hereinabove  provided  to  be 
levied  and  collected,  shall  be  paid  into  the  State  treasury  and  shall  be 
applied  to  the  support  of  the  grovernment,  provided  that  from  and  out 
of  the  tax  on  all  such  property  paid  .to  and  received  by  the  State  there 
shall  be  set  aside  ten  cents  on  every  hundred  dollars  of  the  value  thereof, 
which  shall  be  applied  to  the  public  free  schools  of  this  State. 

8.  That  the  clerk  of  each  county  and  city  in  this  State  shall  record 
daily,  as  received,  in  a  book  kept  separate  for  that  purpose,  all  sucli 
property  taxes  received  by  him  under  the  provisions  of  this  act. 

9.  That  the  clerk,  or  recording  officer,  collecting  or  receiving  the 
aforesaid  property  tax  on  all  such  bonds,  notes,  and  other  evidences  of 
debt  as  herein  provided  to  be  levied  and  paid,  shall  receive  as  compen- 
sation for  his  services  in  collecting  and  paying  over  such  tax  a  com- 
mission of  one  per  centum  on  all  amounts  so  received,  and  shall  make 
a  settlement  with  the  proper  officer  of  the  State  on  the  first  day  of  each 
month  succeeding  the  first  day  of  July,  nineteen  hundred  and  fifteen, 
and  shall  thereupon  pay  into  the  State  treasury  all  such  sums  as  may 
be  due  the  State  for  such  taxes. 

10.  That  all  acts  and  parts  of  acts  in  conflict  with  this  act  'be,  and 
the  same  are,  hereby  repealed. 


Chapter  II — The  Taxation  of  Personal  Property.  67 


A  BILL 

To  amend  and  re-enact  sections  494,  496,  497  and  498  of  chapter  24  of 
the  code  of  Virginia,  relating  to  the  assessment  and  valuation  of 
personal  property,  as  amended  and  re-enacted  by  an  act  approved 
January  8,  1898,  entitled  "an  act  to  amend  and  re-enact  sections 
494,  496,  497  and  498  of  the  code  of  Virginia,  relating  to  the 
assessment  and  valuation  of  personal  property. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sections 
four  hundred  and  ninety-four  four  hundred  and  ninety-six,  four  hundred 
and  ninety-seven  and  four  hundred  and  ninety-eight  of  chapter  twenty- 
four  of  the  code  of  Virginia,  relating  to  the  assessment  and  valuation  of 
personal  property,  as  amended  by  an  act  approved  January  eighth,  eigh- 
teen hundred  and  ninety-eight,  entitled  "an  act  to  amend  and  re-enact 
sections  four  hundred  and  ninety-four,  four  hundred  and  ninety-six, 
four  hundred  and  ninety-seven  and  four  hundred  and  ninety-eight  of 
the  code  of  Virginia,  relating  to  the  assessment  and  valuation  of  personal 
property,"  be  amended  and  re-enacted  so  as  to  read  as  follows: 

Sec.  494.  Commissioners  to  apply  to  tax  payers  to  answer  interroga- 
tories; oath  thereto. — The  commissioner,  or  Ids  duly  qualified  deputies, 
shall,  on  personal  application  to  each  person,  firm  and  corporation  re- 
siding, doing  business,  or  having  an  office  in  his  district,  obtain  answers 
to  interrogatories  addressed  to  such  person,  firm,  or  corporation  not 
otherwise  taxed  on  its  property,  in  order  to  ascertain  from  them  all 
personal  estate,  money,  contracts  and  credits  which  are  owned  by  such 
person,  firm,  or  corporation  and  are  subject  to  assessment  for  taxation 
under  this  chapter.  The  person  about  to  render  to  'the  commissioner  or 
his  deputies,  the  information  necessary  in  order  to  answer  such  in- 
terrogatories shall  take  and  subscribe  an  oath  to  the  following  effect, 
namely:  I  do  solemnly  swear  that  the  answers  which  I  am  about  to 
give  to  the  commissioner  and  which  are  to  be  embodied  in  the  following 
paper  shall  be  true,  to  the  best  of  my  knowledge  and  belief,  and  that 
I  do  not  own  any  property  not  mentioned  in  the  following  answers. 
So  help  me  God. 

And  it  shall  be  the  duty  of  such  person,  firm,  or  corporation  to  give 
a  true  and  perfect  answer  to  each  and  every  interrogatory  addressed  to 
him  by  the  commissioner  or  his  deputies.  And  if  necessary,  in  order 
to  obtain  such  answers,  the  commissioner  shall  apply  in  person  at  least 
once  to  such  person,  firm,  or  corporation,  and  if  such  answers  are  not 
obtained  it  shall  thereafter  be  the  duty  of  the  tax  payer  to  seek  the 
commissioner,  and  upon  failure  to  render  such  answers  for  a  period  of 
fifteen  days  the  commissioner,  or  his  deputies,  may,  upon  the  best  in- 
formation obtainable  by  him,  ascertain  the  facts  necessary  to  enter 
answers  to  such  interrogatories,  which  he  is  hereby  required  to  enter. 


6$  Report  of  Committee  on  Tax  Revision. 

In  case  of  a  firm,  the  oath  shall  be  taken  and  interrogatories  answered 
by  some  one  or  more  members  of  the  firm,  and  in  case  of  a  corporation, 
the  oath  shall  be  taken  and  interrogatories  answered  by  some  officer  or 
agent  of  the  corporation.  The  shall 

prepare  and  furnish  to  the  commissioners  the  blank  interrogatories,  to- 
gether with  all  necessary  blanks  required  bv  law,  with  the  required  oath 
printed  in  advance  of  such  interrogatories,  which  oath  shall  be  taken 
before  the  commissioner,  his  deputies,  or  some  other  person  authorized 
to  administer  oaths,  and  it  shall  be  signed  by  the  tax  payer,  and  where 
a  person  answers  the  interrogatories  for  another,  he  shall  make  and  sign 
the  oath  as  if  he  were  acting  for  himself.  The  interrogatories  so  taken 
shall  be  delivered  to  the  commissioner,  or  his  deputies,  and  by  him  filed 
with  the  clerk  of  the  circuit  or  corporation  court  of  his  county  or  city, 
which  said  oath  shall  be  certified  by  the  commissioner  or  other  officer 
before  whom  said  oath  is  taken. 

The  commissioner  of  the  revenue  shall  require  each  person,  natural 
or  artificial,  residing  in  his  county  or  district,  city  or  town,  to  make 
out  and  deliver  to  said  commissioner  a  list  in  detail  of  the  date,  amount 
for  which  originally  given,  but  not  the  name  of  the  debtor,  the  dates 
and  amounts  of  the  credits  thereon,  the  balance  due  and  the  time  of 
payment  of  all  bonds,  notes,  and  other  evidences  of  debt  due  and  payable 
to  such  person  from  debtors  residing  out  of  or  within  the  State  or 
county,  city  or  town,  in  excess  of  one  hundred  dollars,  and  a  statement 
of  the  aggregate  amount  of  all  bonds,  notes,  and  other  evidences  of 
debt  under  one  hundred  dollars  each;  provided,  however,  that  there 
shall  not  be  included  in  such  list  any  bonds,  notes,  and  other  evidences 
of  debt  secured  by  deed  of  trust,  mortgage  or  vendor's  lien  on  real  or 
personal  property,  situated  or  located  in  this  State,  the  due  date  of 
which  is  five  years  or  less,  when  such  instrument  securing  the  same  has 
been  recorded  and  the  tax  provided  by  law  paid  on  the  principal  of  the 
indebtedness  thereby  secured. 

This  list  and  statement  shall  be  signed  and  sworn  to  by  the  tax 
payer  before  the  commissioner  of  the  revenue  or  a  notary  public,  or 
some  person  authorized  to  administer  oaths,  who  shall  certify  that  said 
list  was  signed  and  sworn  to  before  him.  The  commissioner  shall  sign 
the  lists  and  determine  the  fair  market  value  of  the  bonds,  notes,  and 
other  evidences  of  debt  therein  enumerated,  subject  to  an  appeal  by  the 
tax  payer  from  such  valuation  to  the  circuit  or  corporation  court  within 
the  time  provided  by  law;  provided,  however,  that  the  tax  payer  shall 
not  be  allowed  to  deduct  from  the  aggregate  amount  of  such  bonds, 
notes,  and  other  evidences  of  debt,  or  any  part  thereof,  any  sum  repre- 
senting bonds,  notes,  or  other  evidences  of  debt  owing  by  him  to  others 
as  such  principal  debtor,  nor  as  guarantor,  endorser  or  surety;  and 
provided  further  that  no  bond,  note,  or  other  evidence  of  debt,  consti- 
tuting a  part  of  the  capital  used  by  any  merchant  or  manufacturer  of 
the  business  done  in  or  out  of  this  State,  and  taxed  as  such  capital,  shall 
be  included  in  said  list.  Any  one  who  shall  sig;n  and  swear  to  a  false 
list  or  statement  shall  be  deemed  guilty  of  perjury. 

The  list  and  statement  herein  provided  for  shall  be  delivered  by 
said  commissioner  to  the  clerk  of  the  circuit  or  corporation  court  of  his 


Chapter  II — The  Taxation  of  Personal  Property.  69 

county  or  city,  who  shall  file  the  same  in  his  office  properly  labeled, 
keeping  the  list  for  each  year  separate.     If  any  person,  firm  or  corpora- 
tion shall  fail  or  refuse  to  make  out  and  deliver  under  oath  such  list 
and  statement  as  herein  provided  for,  showing  all  such  bonds,  notes,  or 
other  evidences  of  debt  required  to  be  BO  listed  and  returned,  then  the 
omitted  evidences  of  debt  shall  not  be  recoverable  by  action  at  law  or 
iuit  in  equity  in  any  of  the  courts  of  this  Commonwealth,  or  by  any 
legal  process,  until  they  shall  have  been  reported  for  assessment  and 
the  taxes  then  due  paid  thereon  for  the  years  that  they  should  have 
been  paid,  with  an  addition  of  fifty  per  centum  of  the  amount  of  said 
unpaid  taxes,  and  the  court  in  which  any  such  action  at  law  or  suit  in 
equity  is  pending  shall  require  the  plaintiff  to  establish  as  a  part  of  the 
necessary  proof  of  his  claim  the  fact  that  such  list  and  statement  has 
been  so  returned  and  all  matured  taxes  paid;  provided,  that  the  certifi- 
cate of  the  treasurer  of  such  countv,  city  or  town,  showing  that  all 
matured  taxes  thereon  have  been  paid,  shall  be  prima  facie  evidence  of 
such  payment.    The  failure  to  make  out  such  list  and  statement  to  the 
said  commissioner  shall  be  taken  as  prima  facie  evidence  of  the  inten- 
tion to  evade  the  payment  of  taxes ;  provided,  however,  that  where  in  any 
•uch  action  at  law  or  suit  in  equity  it  is  ascertained  that  there  are 
unpaid  taxes  and  penalties  on  the  evidence  of  debt  sought  to  be  en- 
forced, and  the  suitor  testifies  in  court,  or  makes  affidavit,  that  he  is 
unable  to  pay  these  taxes  and  penalty,  but  is  willing  for  the  same  to  be 
paid  out  of  the  first  recovery  on  the  evidence  of  debt,  the  court  shall 
have  authority  to  enter  as  a  part  of  any  judgment  or  decretal  order  in 
said  proceedings  that  the  amount  of  taxes  and  penalties  due  and  owing 
shall  be  paid  to  the  proper  officer  out  of  the  first  collection  on  said 
judgment  or  decree. 

•    Sec.  496.  Commissioner  to  assess  valuation  of  property;  if  tax  payer 
dissatisfied,  matter  to  be  determined  by  board  of  review  of  assessments. — 
The  commissioner,  or  any  one  of  his  duly  qualified  deputies,  shall,  upon 
his  own  view  or  upon  such  information  as  he  may  obtain  or  possess, 
assess  a  fair  market  valuation  on  all  property  which  appears  to  be  owned 
by  the  tax  payer  from  the  answers  to  the  interrogatories  as  required  by 
the  two  preceding  sections ;  and  where  it  is  practicable,  the  commissioner, 
or  his  deputy,  shall  read  over  the  answers  and  interrogatories,  with  the 
valuation  he  may  assess,  to  the  person  from  whom  such  answers  are 
obtained,  or  on  whose  information  it  is  made  out,  and  it  shall  be  cor- 
rected, if  necessary.    If  any  tax  payer  consider  himself  aggrieved  by  the 
valuation  of  the  commissioner,  or  any  of  his  duly  qualified  deputies, 
•uch  person  shall  have  the  right  to  refer  the  matter  in  controversy  to 
the  board  of  review  of  assessments  of  his  county  or  city,  who  shall  hear 
and  determine  such  complaint  within  the  time  and  in  the  manner  pro- 
Tided  by  law. 

Sec.  497.  Penalty  of  tax  payer  for  refusing  to  answer  interrogatories 
and  swear  thereto. — If  any  person  subject  to  taxation  on  personal  prop- 
erty, and  who  is  required  to  furnish  answers  to  interrogatories,  fail  or 
refuse,  upon  application,  to  make  such  answers  and  to  take  an  oath  to 
the  truth  and  fairness  thereof,  he  shall  be  guilty  of  a  misdemeanor,  and, 


70  Report  of  Committee  on  Tax  Revision. 

upon  conviction,  be  punished  by  a  fine  of  not  less  than  thirty  nor  more 
than  one  thousand  dollars  for  each  offense. 

Sec.  498.  Tax  payer  fined  if  he  refuses  to  exhibit  property;  commis- 
sioner fined  if  he  takes  answers  not  sworn  to. — If  anv  person  refuse  to 
exhibit  to  the  commissioner,  or  any  one  of  his  duly  qualified  deputies, 
any  property  mentioned  in  the  answers  to  the  interrogatories,  or  required 
by  this  chapter  to  be  taxed,  in  order  that  a  fair  market  valuation  thereof 
may  be  assessed,  he  shall  be  guilty  of  a  misdemeanor,  and,  upon  con- 
viction, be  punished  by  a  fine  of  not  less  than  twenty  nor  more  than  one 
hundred  dollars.  Any  commissioner  or  any  one  of  his  deputies  who 
shall  receive  any  answers  to  any  such  interrogatories  as  a  sufficient  re- 
turn of  personal  property  without  requiring  the  same  to  be  sworn  te 
according  to  law,  shall  be  guilty  of  a  misdemeanor,  and,  upon  convic- 
tion, be  punished  by  a  fine  of  not  less  than  one  hundred  nor  more  than 
five  hundred  dollars,  and  shall  be  subject  to  removal  from  office  in  the 
manner  provided  by  law. 

If,  upon  complaint  to  the  judge  of  the  circuit  or  corporation  court 
of  the  county  or  corporation,  supported  by  the  sworn  affidavit  of  two 
or  more  reputable  tax  payers,  it  shall  appear  to  the  satisfaction  of  the 
court  that  the  commissioner  of  the  revenue  of  such  county  or  corpora- 
tion, or  any  of  his  deputies,  has  not  complied  with  the  requirement! 
of  the  law  relating  to  the  assessment  of  property  for  taxation,  the  judge 
shall  forthwith  remove  such  delinquent  commissioner  or  deputy,  and 
appoint  his  successor. 

2.  All  acts  and  parts  of  acts  inconsistent  with  this  act  are  hereby 
repealed. 

3.  The  collection  of  current  revenue  being  affected  an  emergency 
is  declared  to  exist,  and  this  act  shall  be  in  force  from  its  passage. 


Chapter  II — The  Taxation  of  Personal  Property.  71 


A  BILL. 

To  amend  and  re-enact  sections  8  and  9  of  an  act,  entitled  "An  act  to 
raise  revenue  for  the  support  of  the  government  and  public  free 
schools,  and  to  pay  the  interest  on  the  public,  debt,  and  to  provide 
a  special  tax  for  pensions  as  authorized  by  section  189  of  the  Con- 
stitution," approved  April  16,  1903,  as  amended  by  an  act  approved 
March  12,  1908. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  section! 
eight  and  nine  of  an  act,  entitled  "An  act  to  raise  revenue  for  the 
support  of  the  government  and  public  free  schools,  and  to  pay  the  in- 
terest on  the  public  debt,  and  to  provide  a  special  tax  for  pensions  as 
authorized  by  section  one  hundred  and  eighty-nine  of  the  Constitu- 
tion," approved  April  sixteenth,  nineteen  hundred  and  three,  as  amended 
by  an  act  approved  March  twelfth,  nineteen  hundred  and  eight,  be 
amended  and  re-enacted  so  as  to  read  as  follows : 

Sec.  8.  The  classification  under  Schedule  C  shall  be  as  follows : 

First.  All  bonds,  notes,  and  other  evidences  of  debt,  of  individuals 
or  corporations,  and  all  other  demands  and  claims  however  evidenced, 
representing  the  principal  debt  or  obligation,  secured  by  deed  of  trust, 
mortgage  or  vendor's  lien  on  real  estate  or  personal  property,  situated 
or  located  in  this  State,  the  due  date  of  which  is  five  years  or  less. 

Second.  All  bonds,  notes,  and  other  evidences  of  debt,  of  individuals 
or  corporations,  and  all  other  demands  and  claims  however  evidenced, 
representing  the  principal  debt  or  obligation,  secured  by  deed  of  trust, 
mortgage  or  vendor's  lien  on  real  estate  or  personal  property,  situated 
or  located  in  this  State,  which  are  due  and  payable  in  the  first  instance 
at  a  period  over  five  years  from  date,  and  any  renewals  or  extensions 
thereof. 

Third.  All  bonds,  notes,  and  other  evidences  of  debt,  of  individuals 
or  corporations,  and  all  other  demands  and  claims  however  evidenced, 
representing  the  principal  debt  or  obligation,  secured  by  deed  of  trust, 
mortgage  or  vendor's  lien  on  real  estate  or  personal  property,  situated 
or  located  in  any  state  or  country  other  than  Virginia  and  not  recorded 
in  this  State;  provided,  that  all  such  evidences  of  debt  which  are  se- 
cured by  the  deposit  of  any  valuable  securities,  as  collateral  security  for 
the  payment  of  such  bonds,  notes,  or  obligations,  whether  deposited  under 
an  agreement,  and  held  by  a  trustee  or  otherwise,  shall  be  deemed  to  be 
included  herein;  and  all  bonds,  notes,  and  other  evidences  of  debt,  of 
states  or  countries,  and  of  all  political  sub-divisions  thereof,  other  than 
Virginia. 

Fourth.  All  bonds,  notes,  and  other  evidences  of  debt,  of  the  coun- 
ties, cities  and  towns,  and  other  political  sub-divisions  of  this  State. 


72  Report  of  Committee  on  Tax  Revision. 

Fifth.  All  bonds,  notes,  and  other  evidences  of  debt,  of  individuals 
or  corporations,  except  such  as  are  included  in  the  preceding  classes. 

Sixth.  All  capital  of  individuals,  including  moneys,  credits,  or  other 
thing  loaned,  used  or  employed  in  business  out  of  this  State. 

Seventh.  All  capital  of  corporations,  or  incorporated  joint  stock 
companies  not  otherwise  taxed;  and  when  all  of  such  capital  is  taxed  by 
this  State,  the  shares  of  such  stock  in  the  hands  of  individual  share- 
holders shall  not  be  further  taxed  for  State  purposes;  but  real  estate 
belonging  to  such  corporations  and  companies  shall  not  be  held  to  b& 
capital,  but  shall  be  listed  and  taxed  as  real  estate. 

Eighth.  All  capital  of  individuals  invested,  used  or  employed  in 
tny  trade  or  business  not  otherwise  taxed.  Moneys  and  credits  actively 
used  and  employed  in  carrying  on  the  trade  or  business,  materials, 
goods,  wares,  and  merchandise  on  hand,  and  all  solvent  bonds,  notes  de- 
mands or  claims  made  or  contracted  in  the  course  of  business  during 
the  preceding  year,  but  not  including  any  moneys  on  hand  received  from 
loans  made  for  a  period  of  not  more  than  four  months,  which  shall  be 
owing  and  shall  have  been  actually  contracted  for  the  necessary  conduct 
of  such  business  shall  be  held  to  be  capital  in  such  trade  or  business, 
and  shall  not  be  taxed  otherwise  than  as  such  capital;  but  real  estate 
shall  not  be  listed  as  such  capital,  but  shall  be  listed  and  taxed  as  real 
•state. 

Ninth.  All  moneys  and  the  value  of  the  principal  of  personal  es- 
tate and  credits  under  the  control  of  a  court  receiver  or  commissioner, 
in  pursuance  of  an  order,  judgment  or  decree  of  any  court,  or  in  the 
hands  or  under  the  control  of  an  executor,  administrator,  guardian,  trus- 
tee, agent,  or  other  fiduciary;  and  all  money  and  the  principal  of  per- 
sonal estate  and  credits  deposited  to  the  credit  of  any  suit,  and  not  in 
the  hands  of  a  receiver  or  other  fiduciary.  All  of  the  property  included 
in  this  ninth  class  shall  be  taxed  at  the  same  rate  as  like  property  is 
taxed  in  the  possession  or  under  the  control  of  the  .owner. 

Tenth.  All  money  on  deposit  with  any  bank  or  other  corporation 
or  firm  or  person,  or  in  the  possession  or  under  control  of  the  owner, 
whether  such  money  be  actually  in  or  out  of  this  State  and  belonging 
to  a  citizen  of  this  State,  which  shall  include  certificates  of  deposit  of 
any  bank,  banking  association,  trust  or  security  company ;  provided,  that 
money  as  herein  defined  shall  not  be  liable  to  taxation  by  any  of  the 
counties,  cities,  towns,  school  districts  or  other  local  sub-divisions  of 
this  State. 

Eleventh.  All  shares  of  stock  of  corporations  or  joint  stock  com- 
panies, except  such  corporations  and  joint  stock  companies  all  of  whose 
capital  is  taxed  by  this  State,  or  which  pay  a  franchise  tax  in  this  State, 
and  banks,  banking  associations,  trust  and  security  companies,  which 
are  otherwise  taxed  in  this  State. 

Sec.  9.  The  taxes  on  intangible  personal  property  shall  be  as  follows  : 

On  all  property  embraced  in  this  schedule  there  shall  be  a  tax  of  one 

dollar  on  every  hundred  dollars  of  assessed  value  thereof,  one-fourth 

whereof  shall  be  paid  into  the  State  treasury  for  the  expenses  of  the 


Chapter  II — The  Taxation  of  Personal  Property.  73 

State  government,  and  the  remaining  three-fourths  thereof  shall  be  paid 
into  the  treasury  of  the  county  or  city  in  which  it  shall  have  been  as- 
sessed and  collected;  and  thereupon  the  treasurer  of  any  such  county  in 
which  there  is  an  incorporated  town  shall  apportion  the  sum  so  received 
between  the  county  and  town  in  which  said  taxes  shall  have  been  as- 
sessed and  collected  in  the  same  proportion  as  the  revenue  received  from 
other  taxable  property  in  such  town  is  distributed  between  the   said 
county  and  town,  and  shall  thereupon,  and  within  thirty  days  after  its 
receipt,  pay  over  to  the  treasurer  of  such  town  its  proper  proportion  of 
such  tax.    Provided,  however,  that  the  tax  on  intangible  personal  prop- 
erty embraced  in  classes  one  and  four  of  this  schedule  shall  be  thirty- 
five  cents  on  every  hundred  dollars  of  the  value  thereof,  which  is  hereby 
segregated  for  State  purposes  only  under  the  provisions  of  the  Consti- 
tution, which  shall  be  paid  into  the  State  treasury  and  applied  to  the 
payment  of  the  expenses  of  the  government;  and.  provided,  further,  that 
on  money  on  deposit  with  any  bank  or  other  corporation  or  firm  or  per- 
son, or  in  the  possession  or  under  the  control  of  the  owner,  whether  such 
money  be  actually  in  or  out  of  this  State  or  in  the  hands  or  under  the 
control  of  a  court  receiver  or  commissioner,  or  other  fiduciary,  or  on 
deposit  to  the  credit  of  any  suit  in  any  court,  and  not  in  the  hands  of 
a  receiver  or  commissioner,  or  other  fiduciary,  the  tax  shall  be  as  pro- 
vided by  law ;  and,  provided,  further,  however,  that  from  and  out  of 
the  tax  on  all  such  property  paid  to  and  retained  by  the  State  for  the 
.expenses  of  the  State  government  there  shall  be  set  aside  ten  cents  on 
every  hundred  dollars  of  the  assessed  value  thereof,  which  shall  be  ap- 
plied to  the  public  free  schools  of  this  State.    The  tax  herein  provided, 
or  as  shall  be  prescribed  by  law,  on  all  such  property  embraced  in  this 
schedule,  shall  be  in  lieu  of  all  other  tax  thereon  whatsoever  for  State, 
county,  municipal  or  local  purposes ;  provided,  however,  that  nothing 
herein  contained  shall  be  so  construed  as  to  exempt  any  corporation  from 
the  payment  of  the  registration  fee  and  franchise  tax,  or  to  exempt  mer- 
chants, mercantile  firms  or  corporations  from  the  payment  of  city,  town, 
county,  district  and  road  levies  on  the  net  amount  of  capital  on  hand 
on  the  first  day  of  February  of  each  year,  at  a  rate  not  exceeding  seventy- 
five  cents  on  each  one  hundred  dollars,  or  fraction  thereof,  of  such 
capital.     Provided,  that  in  the  event  any  tax  payer  shall  fail,  without 
just  cause  shown,  to  return  for  taxation  any  intangible  personal  property 
under  the  provisions  of  this  schedule  within  the  time  prescribed  by  law, 
and  it  is  ascertained  thereafter  that  any  such  personal  property  has  not 
been  so  returned  for  taxation,  it  shall  be  assessed  when  discovered,  and 
taxed  at  the  full  rate  of  taxation  provided  for  real  estate  in  this  State, 
which  shall  include  the  State  rate  and  the  local  rates  and  levies  of  the 
county,  district,  town  or  city  wherein  the  owner  or  tax  payer  has  his  legal 
residence,  and  when  so  discovered  and  assessed,  such  property  shall  be 
assessed  for  the  year  or  years  for  which  the  owner  or  tax  payer  shall 
have  failed  to  make  the  returns  required  by  this  schedule  within  the 
time  prescribed  by  law. 

2.  The  collection  of  public  revenue  being  affected,  an  emergency  is 
hereby  declared  to  exist,  and  this  act  shall  be  in  force  from  its  passage. 


74  Report  of  Committee  on  Tax  Revision. 

To  be  Used  as  a  Part  of  Schedule  C  if  Segregation  be  Adopted. 

*y 

Sec.  9.  The  taxes  on  intangible  personal  property  shall  be  as  follows: 
All  property  embraced  in  this  schedule  i-s  hereby  segregated  for  the 
purpose  of  taxation,  and  declared  to  be  separate  and  distinct  subjects 
of  taxation  within  the  purview  of  section  one  hundred  and  sixtv-nine  of 
the  Constitution  of  this  State,  and  shall  be  exempt  from  all  other  taxa- 
tion by  the  State,  counties,  cities,  towns,  school  districts  and  other  local 
sub-divisions  of  this  State;  provided,  that  nothing  herein  shall  exempt 
such  property  from  the  operation  of  the  laws  relating  to  the  taxation 
of  inheritances,  or  those  governing  the  taxation  of  banks,  trust  and  se- 
curity companies,  or  insurance  companies.  On  all  property  embraced  in 
classes  two,  three,  five,  six,  seven,  eight,  nine  and  eleven  in  this  schedule 
there  shall  be  a  tax  of  one  dollar  on  every  hundred  dollars  of  the  assessed 
value  thereof,  which  shall  be  paid  into  the  State  treasury  and  applied 
to  the  payment  of  the  expenses  of  the  government;  and  on  all  property 
embraced  in  classes  one  and  four  in  this  schedule  there  shall  be  a  tax 
of  thirty-five  cents  on  every  hundred  dollars  of  the  value  thereof,  which 
shall  be  paid  into  the  State  treasury  and  applied  to  the  payment  of  the 
expenses  of  the  government;  and  on  all  property  embraced  in  class  ten 
in  this  schedule,  as  well  as  money  in  the  hands  or  under  the  control  of 
a  court  receiver  or  commissioner,  or  other  fiduciary,  or  on  deposit  to  the 
credit  of  any  suit  in  any  court  and  not  in  the  hands  of  a  receiver  or 
commissioner,  or  other  fiduciary,  as  defined  in  class  nine  of  this  schedule, 
the  tax  shall  be  as  provided  by  law.  Provided,  however,  that  from  and 
out  of  the  tax  on  all  such  property  paid  to  and  retained  by  the  State 
for  the  expenses  of  the  State  government  there  shall  be  set  aside  ten 
cents  on  every  hundred  dollars  of  the  assessed  value  thereof,  which  shall 
be  applied  to  the  public  free  .schools  of  this  State.  Provided,  further, 
however,  that  in  the  event  any  tax  payer  shall  fail,  without  just  cause 
shown,  to  return  for  taxation  any  intangible  personal  property  under 
the  provisions  of  this  schedule  within  the  time  prescribed  by  law,  and  it 
is  ascertained  thereafter  that  any  such  personal  property  has  not  been 
returned  for  taxation,  it  shall  be  assessed  when  discovered,  and  taxed 
at  the  full  rate  of  taxation  provided  for -real  estate  in  this  State,  which 
shall  include  the  State  rate  and  the  local  rates  and  levies  of  the  county, 
district,  town  or  city  wherein  the  owner  or  tax  payer  has  his  legal  resi- 
dence, and  when  so  discovered  and  assessed,  such  property  shall  be  as- 
sessed for  the  year  or  years  for  which  the  owner  or  tax  payer  shall  have 
failed  to  make  the  returns  required  by  this  schedule  within  the  time 
prescribed  by  law. 


Chapter  III— License  Laws  and  Taxes.  75 


CHAPTER  III. 
LICENSE  LAWS  AND  TAXES. 

Occupation  taxes  are  very  old  in  this  Commonwealth.  They  were 
first  used  in  order  to  regulate  and  control  more  effectively  pursuits  that 
might  be  dangerous  to  the  public  welfare  when  not  subjected  to  govern- 
ment supervision.  Many  of  these  still  survive  in  the  so-called  "policed" 
licenses.  The  revenue  from  this  source  early  became  sufficient  to  draw 
attention  to  the  possibilities  presented  by  a  more  extended  license  sys- 
tem. Consequently,  the  growing  need  of  more  revenue,  and  the  diffi- 
culty of  getting  it,  under  the  defective  administration  of  a  general  prop- 
erty tax  system,  naturally  suggested  a  license  tax  on  lucrative  occupa- 
tions that  could  not  be  reached  to  much  purpose  by  an  ad  valorem  tax  on 
the  capital  invested  in  them,.  During  several  generations,  as  new  formi 
of  enterprise  have  arisen,  the  license  system  has  been  extended  to  in- 
clude them.  It  was  a  ready  and  certain  method  of  raising  revenue,  it 
evaded  the  difficulty  of  making  accurate  assessments,  and  it  was  easy 
and  simple  to  administer.  Occasionally  the  tax  was  roughly  graded, 
but  more  often  a  flat  tax  was  imposed  without  regard  to  the  amount  of 
business  done,  or  the  profits  arising  from  it.  As  the  years  passed  these 
occupation  taxes,  or  licenses,  became  very  numerous,  and  they  now  pro- 
duce a  large  part  of  the  State's  revenue. 

There  has  never  been  any  investigation  of  the  effect  of  these  taxes 
on  the  particular  industries  that  bear  them,  nor  on  general  business 
conditions  in  the  State.  From  time  to  time  the  representatives  of  some 
line  of  business  have  made  it  clear  to  the  General  Assembly  that  they  were 
overtaxed,  and  have  had  their  own  payments  reduced  without  regard  to 
the  effect  such  reduction  might  have  on  other  interlocked  lines  of  busi- 
ness. At  other  times  the  tax  has  been  raised  on  various  forms  of  enter- 
prise, apparently  for  no  particular  reason  except  that  the  money  was 
needed  and  it  was  believed  that  the  increase  would  be  paid  without  too 
much  unpleasant  clamor.  Thus  special  rates  have  been  fixed,  raised 
and  lowered  with  no  broad  underlying  policy,  with  no  effort  to  adjust 
them  into  a  regulated  system,  with  no  regard  to  their  general  industrial 
influence,  and  with  no  possibility  of  knowing  whether  they  approached 
equality  in  distributing  the  burden  of  taxation.  At  present  this  whole 
group  of  taxes  impresses  us  as  being  in  a  condition  of  chaos. 

It  has  been  utterly  impossible  for  this  Committee  during  the  brief 
period  of  its  existence  to  carry  through  an  investigation  that  would  show 
the  actual  influence  of  these  taxes  on  the  business  life  of  the  Common- 
wealth. A  proper  and  reasonable  readjustment  of  them  would  require 
watching  their  operation  for  several  years  and  far  more  efficient  ad- 
ministrative methods  of  enforcing  them  than  those  now  prevailing. 
Probably  in  no  other  branch  of  our  system  of  taxation  is  the  need  so 
urgent  for  a  permanent  board  or  commission  qualified  by  its  powers  and 


76  Report  of  Committee  on  Tax  Revision. 

composition  to  give  close  and  constant  attention  to  the  working  of  the 
tax  laws.  We  know  of  no  other  means  than  through  such  an  agency  for 
the  General  Assembly  to  keep  itself  informed  with  regard  to  a  matter  of 
such  grave  importance  to  the  welfare  of  the  Commonwealth. 

Merchants'  Licenses. 

As  thorough  investigation  as  was  possible  in  the  time  at  our  disposal 
we  have  made,  and  it  is  the  basis  of  a  number  of  amendments  which  we 
propose  in  what  is  commonlv  called  the  "tax  bill." 

Perhaps  the  most  notable  of  these  amendments  concerns  merchants' 
licenses.  The  Committee  held  several  public  hearings  for  the  merchants 
and  conducted  quite  extensive  inquiry  and  investigation  on  its  own 
account,  but  there  were  many  obstacles  in  the  way  of  getting  accurate 
information.  Some  merchants  were  very  frank  and  helpful  to  us,  but 
many  more  were  either  apathetic  or  showed  a  reserve  that  indicated  sus- 
picion. Among  other  measures,  at  the  suggestion  of  the  officials  of  the 
Retail  Merchants'  Association,  we  prepared  an  interrogatory  which  was 
cent  to  more  than  four  hundred  merchants  of  standing  in  different,  parts 
of  the  State.  From  several  of  the  larger  cities  we  received  no  reply  at 
all.  The  most  informative  of  the  returns  made  to  us  came  from  Norfolk. 
A  few  firms  and  individuals  in  other  places  were  equally  frank.  But 
many  affirmed  that  their  books  were  not  in  such  condition  that  they 
could  answer  some  of  the  questions  without  more  labor  than  they  were 
disposed  to  give  to  it.  Others  merely  left  blank  the  questions  they 
preferred  not  to  answer;  and  the  overwhelming  majority  suppressed  the- 
interrogatory  altogether.  Out  of  the  hundreds  that  we  sent  out  only 
twenty  came  back  full  enough  and  clear  enough  for  us  to  use.  They 
represented  such  an  infinitesimal  part  of  the  commercial  business  that 
we  were  unable  to  base  any  conclusion  upon  them. 

We  mention  these  facts  to  illustrate  the  difficulty  of  completing  such 
an  investigation  in  the  time  allotted  by  law  for  the  work  of  this  Com- 
mittee. 

The  amendments  we  propose,  therefore  result  from  the  inquiries 
and  investigations  made  personally  by  the  members  of  the  Committee. 

Before  noting  our  recommendations  we  wish  to  call  attention  to  a 
misunderstanding  that  grows  out  of  naming  a  merchant's  payment  to 
the  State  a  "license."  Practically  every  merchant  that  appeared  before1 
us  objected  strenuously  to  the  Virginia  requirement  that  he  "take  out 
a  license."  It  was  said  to  be  an  unjust  discrimination  between  the 
merchants  and  the  men  in  other  branches  of  business.  It  was  repre- 
sented as  an  antiquated  and  burdensome  imposition  that  had  been  aban- 
doned by  nearly  every  other  progressive  State  in  the  Union.  In  reality , 
however,  the  merchant's  tax  in  this  State  is  not  a  "license"  in  the  true 
sense.  It  is  a  tax  levied  by  the  Commonwealth  in  lieu  of  a  property 
tax,  a  substitute  for  an  ad  valorem  tax  on  his  capital,  a  tax  based  on  the- 
amount  of  business  he  does  and  not  on  the  value  of  the  property  he  uses 
in  that  business.  As  compared  with  the  tax  on  capital  levied  in  those 
states  that  do  not  use  our  method  the  more  thoughtful  merchants  an- 
'imanimous  in  preferring  our  tax  on  purchases.  ,( 


Chapter  III — License  Laws  and  Taxes.  77 

We  recommend  that  the  miniiimin  tax  be  raised  from  five  dollars  on 
purchases  not  exceeding  one  thousand  dollars,  to  ten  dollars  on  purchases 
of  two  thousand  dollars  or  less.    It  is  likely  that  there  are  in  the  State 
a  few  deserving  individuals  who  add  a  little  to  the  family  income  or  who 
eke  out  a  wretched  livelihood  through  business  conducted  on  a  very 
meager  scale.    But  the  majority  of  those  paying  the  minimum  tax  con- 
ceal their  actual  purchases  and  evade  payment  of  what  the  law  requires. 
The  Auditor's  report  shows  that  in  1913  no  less  than  11,351  merchants, 
which  is  more  than  half  of  all  those  doing  business  in  the  State,  paid  the 
minimum  tax  of  five  dollars.  Among  them  are  most  of  those  persons  who 
with  little  experience  and  less  capital  are  attracted  into  "store-keeping" 
by  its  supposed  opportunity  for  speculative  gains,  by  its  respectable 
standing  and  by  its  seemingly  small  requirement  of  energy  and  labor. 
For  a  few  years  they  cut  into  the  custom  of  competent  and  responsible 
merchants,  then  usually  fail  leaving  the  greater  part  of  their  stock  in 
trade  unpaid  for.     Since  we  do  not  consider  it  good  public  policy  to 
encourage  this  class  of  so-called  merchants,  and  since  we  believe  that 
many  others  are  concealing  their  purchases,  and  paying  only  the  lowest 
tax,  we  recommend  that  the  minimum  be  made  ten  dollars  on  purchases 
of  two  thousand  dollars  or  less. 

We  further  recommend  that  on  all  purchases  between  $2,000.00  and 
$50,000.00  the  rate  be  reduced  from  $3.00  to  $2.00  a  thousand.  The 
present  tax  is  out  of  proportion  to  the  tax  levied  on  men  in  other  forms 
of  business.  Thus  a  merchant  in  fairly  active  business  with  a  capital  of 
$10,000.00  would  have  annual  purchases  of  $40,000.00.  He  would  pay 
the  State  for  his  license  $124.00,  and  in  addition  he  would  be  taxed  by 
the  local  government  $115.00  on  his  capital,  altogether,  therefore,  his 
taxes  would  be  $239.00.  His  neighbor,  a  manufacturer,  with  an  equal 
amount  of  capital,  would  pay  a  combined  State  and  local  tax  of  only 
$150.00.  The  illustration  assumes,  of  course  that  the  assessments 
are  correctly  made  in  both  cases.  In  fact,  however,  the  excessive  tax 
induces  underassessment,  and  evasion  of  the  law  on  the  part  of  the 
merchants  is  as  common  and  is  due  to  the  same  causes,  as  in  the  case  of 
owners  of  intangible  property.  A  just  rate  and  better  administration 
would  greatly  increase  the  government's  revenue  from  this  source. 

We  also  recommend  that  on  purchases  only  of  wholesale  merchants  in 
excess  of  $50,000.00,  the  tax  should  remain  as  at  present,  one  dollar  on 
the  thousand.  This  recommendation  would  effect  no  change  in  the 
present  law  so  far  as  wholesale  merchants  are  concerned.  But  it  in- 
creases the  present  tax  on  large  retail  merchants.  At  present  the 
merchant's  tax  is  degressive.  The  small  merchant  pays  in  proportion 
to  the  amount  of  business  he  does  several  times  as  much  as  his  powerful 
competitor.  Our  recommendation  simply  means  that  the  rate  should 
be  the  same  for  both.  The  growth  of  the  means  of  communication,  the 
establishment  of  the  parcels  post,  improved  advertising  facilities  and 
sundry  developments  along  other  lines,  now  enable  the  strong  city  mer- 
cantile houses  to  reach  far  into  the  field  of  the  local  merchant  in  the 
small  town  and  rural  district.  In  the  keen  competition  for  custom  the 
small  merchant  should  not  be  handicapped  by  the  imposition  of  a  higher 
tax  rate  than  is  levied  on  his  rival. 


T8  Report  of  Committee  on  Tax  Revision. 

Other  Licenses. 

With  regard  to  liquor  licenses  we  make  no  recommendation  by  rea- 
§on  of  the  near  approach  of  statewide  prohibition. 

The  present  tax  on  building  and  loan  associations  is  degressive  in 
its  nature.  We  find  no  justification  for  this  and  therefore  we  recommend 
that  the  tax  be  levied  at  a  uniform  rate  in  order  that  the  burden  of  the 
large  associations  be  made  proportional  to  that  of  the  small  ones. 

The  present  tax  on  the  sellers  of  "soft  drinks"  appears  to  be  too  small 
in  proportion  to  the  profits  of  the  business,  and  quite  out  of  proportion 
to  the  tax  on  other  branches  of  trade.  Accordingly,  we  recommend 
that  the  tax  be  doubled. 

We  have  reason  to  believe  that  the  requirement  of  a  special  license 
for  retailing  tobacco,  cigars  and  cigarettes  was  inadvertently  repealed 
by  the  General  Assembly,  and  we  recommend  that  the  former  law  be 
re-enacted. 

One  of  our  proposed  amendments  involves  a  readjustment  of  the 
tax  on  moving  picture  shows.  Its  purpose  is  merely  to  equalize  the 
tax  among  them. 

Another  amendment  would  put  brokers  who  receive  or  distribute 
provisions  or  merchandise  in  the  same  class  with  commission  merchants 
and  levy  the  same  tax  upon  them.  We  have  ascertained  that  under  the 
guise  of  brokerage  a  considerable  volume  of  business  is  carried  on  which 
is  practically  the  same  as  that  of  a  commission  merchant,  and  we  see 
no  reason  for  taxing  them  at  a  different  rate. 

We  recommend  the  repeal  of  the  tax  on  barbers,  on  the  ground  that 
its  yield  is  less  than  the  cost  of  collecting  it. 

We  also  recommend  reducing  the  license  of  peddlers  of  country 
produce  from  $50.00  to  $25.00,  because  we  regard  the  business  as  par- 
ticularly worthy  of  encouragement. 

On  the  other  hand,  we  recommend  an  increased  tax  on  the  vendors 
of  salves,  medicines,  liniments  and  other  like  compounds  for  the  reason 
that  the  prevalence  among  them  of  fraud  and  quackery  render  their 
business  one  to  be  discouraged. 

It  will  be  remembered  that  at  its  last  session  the  General  Assembly 
revoked  the  requirement  of  a  license  from  physicians.  We*  have  found 
throughout  the  State  widespread  dissatisfaction  that  this  calling  should 
have  been  more  favored  than  dentistry,  veterinary  surgery,  law  and 
architecture.  We  refrain  from  requesting  the  re-enactment  of  the 
doctors'  license  requirement  for  the  reason  that  it  would  be  unbecoming 
in  us  to  ask  the  General  Assembly  to  reverse  itself  in  a  matter  so  recently 
and  so  deliberately  acted  upon.  We  do,  however,  recommend  the  ex- 
tension of  the  license  tax  to  include  civil,  electrical  and  mechanical 
engineers.  Presumably  they  were  omitted  when  similar  licenses  were 
first  adopted  for  the  reason  that  engineering  at  that  time  was  hard  to 
define  and  had  hardly  established  itself  as  a  learned  profession. 

In  relation  to  this  whole  group  of  professional  licenses  we  wish  to 
say  that  it  may  well  be  questioned  whether  their  retention  is  in  accord- 
ance with  sound  public  policy.  We  should  have  at  least  seriously  con- 
sidered recommending  the  repeal  of  all  of  these  but  for  the  possible 


Chapter  III — License  Laws  and  Taxes.  79 

effect  upon  the  revenues  of  the  whole  body  of  legislation  proposed  in  this 
report.  It  is  true,  that  we  fully  expect  that  if  the  measures  we  suggest 
are  adopted,  there  will  be  an  increase  rather  than  a  decrease  of  revenue. 
But  it  is  impossible  to  forecast  with  absolute  certainty  the  effect  of  the 
modifications.  We  regard  other  reforms  that  we  present  as  far  more 
important  than  the  readjustment  or  repeal  of  the  professional  licenses. 
Therefore,  in  as  much  as  they  are  a  relatively  small  burden  upon  the 
individual  while  their  yield  is  very  considerable,  we  recommend  their 
retention  until  the  effect  of  any  new  legislation  can  be  ascertained. 

Some  of  the  other  amendments  we  propose  would  make  minor  changes 
in  rates.  But  the  greater  number  of  them  are  intended  merely  to  give 
greater  clearness  to  the  law  and  make  it  easier  to  administer. 

We  reproduce  here  consecutive  sections  of  the  "tax  bill"  and  indicate 
the  proposed  amendments. 


CONSECUTIVE  SECTIONS  OF  THE  "TAX  BILL,"  INCLUDING 
THE  SECTIONS  WHICH  IT  IS  PROPOSED  TO  AMEND. 

45.  Every  person,  firm,  company  or  corporation  engaged  in  the  busi- 
ness of  a  wholesale  or  retail  merchant  shall  pay  a  license  tax  for  the 
privilege  of  doing  business  in  this  State  to  be  graduated  by  the  amount 
of  purchases  made  by  him  during  the  period  for  which  the  license  is 
granted,  and  all  goods,  wares  and  merchandise  manufactured  by  such 
merchant  and  sold  or  offered  for  sale,  in  this  State,  as  merchandise,  shall 
be  considered  as  purchases  within  the  meaning  of  this  section;  provided, 
that  this  section  shall  not  be  construed  as  applying  to  manufacturers 
taxed  on  capital  by  this  State,  who  offer  for  sale  at  the  place  of  manu- 
facture, goods,  wares  and  merchandise  manufactured  by  them.  To  as- 
certain the  amount  of  purchases  it  shall  be  the  duty  of  such  merchant, 
on  the  first  clay  of  April  of  each  year,  or  within  ten  days  thereafter, 
to  make  report  in  writing,  under  oath,  to  the  commissioner  of  the  reve- 
nue, for  the  district  for  which  he  was  licensed,  showing  purchases  as 
above  defined,  and  also  all  snoods,  wares  and  merchandise  manufactured 
and  sold  or  offered  for  sale  in  this  State  during  the  next  preceding 
twelve  months ;  except  such  goods,  wares  and  merchandise  as  is  manu- 
factured by  persons,  firms  and  corporations  taxed  on  their  capital  by 
this  State.  The  form  of  the  report  required  bv  this  section  shall  be 
prepared  by  the  auditor  of  public  accounts  and  furnished  to  each  com- 
missioner of  the  revenue,  and  by  him  distributed  to  each  licensed  mer- 
chant; and  each  commissioner  shall,  in  the  mode  prescribed  for  making 
sucii  lepuit  by  him  of  violations  of  the  revenue  law,  report  every  mer- 
chant who  shall  fail  to  comply  with  the  requirements  of  this  section. 
Any  person  violating  the  provisions  of  this  section  shall  pay  a  fine  of 
not  less  than  thirty  dollars,  or  more  than  one  thousand  dollars  for  each 
offense. 

For  the  purposes  of  taxation  hereunder  merchants  shall  be  classified 
as  wholesale  and  retail  merchants.  Every  person,  firm,  company  or  cor- 
poration who  shall  engage  exclusively  in  the  business  of  selling  or  offering 
for  sale  goods,  wares  and  merchandise  of  any  kind  to  licensed  retail  mer- 


80  Report  of  Committee  on  Tax  Revision. 

chants  shall  be  deemed  a  wholesale  merchant,  and  every  other  merchant 
selling  to  consumers  shall  be  deemed  a  retail  merchant. 

Merchants'  License. 

46.  For  every  license  to  a  retail  merchant,  firm,  company  or  cor- 
poration, as  defined  in  section  forty-five,  engaged  in  the  business  of  a 
merchant,  the  amount  to  be  paid  shall  be  graduated  as  follows :  If  the 
amount  of  purchases  shall  not  exceed  two  thousand  dollars  the  amount 
shall  be  ten  dollars;  when  purchases  exceed  two  thousand  dollars,  there 
shall  be  paid  twenty  cents  on  each  one  hundred  dollars  in  excess  of  two 
thousand  dollars. 

For  every  license  to  a  wholesale  merchant,  firm,  company  or  corpora- 
tion, as  defined  in  section  forty- five,  engaged  in  the  business  of  a  mer-' 
chant,  the  amount  to  be  paid  shall  be  graduated  as  follows:     If  the 
amount  of  purchases  shall  not  exceed  two  thousand  dollars,  the  amount 
to  be  paid  shall  be  ten  dollars;  when  the  purchases  exceed  two  thousand 
dollars  and  not  more  than  fifty  thousand  dollars,  there  shall  be  vaid 
twenty  cents  on  the  one  hundred  dollars,  and  upon  all  purchases  of  over 
fifty  thousand  dollars  there  shall  be  paid  ten  cents  on  every  one  hundred 
in  excess  of  fifty  thousand  dollars.     Provided,  further,  that  goods,  wares 
and  merchandise  not  belonging  to  a  merchant  which  are  offered  for  sale 
by  the  merchant  or  by  another  person  at  the  merchant's  duly  licensed 
place  of  business  shall  require  such  merchant  to  take  out  the  license  of  a 
commission  merchant.      The  sums  imposed  under  and  by  virtue  of  this 
section  shall  be  in  lieu  of  all  taxes  for  State  purposes  on  the  capital 
actually  employed  by  said  merchant  or  mercantile  firm  or  corporation 
in  said  business,  except  the  registration  fee  and  franchise  tax,  and  except 
that  such  merchant  shall  not  b$  exempt  from  the  payment  of  county, 
district,  and  road  levies  on  the  net  amount  of  capital  on  hand  on  the  first 
day  of  February  of  each  year    and  may  be  required  to  pay  the  usual 
county,  district,  and  road  levies  thereon,  notwithstanding  this  act.     The 
word  "capital"  shall  include  moneys  and  credits  actively  used  in  carrying 
on  the  business,  including  goods,  wares  and  merchandise  on  hand,  and 
all  solvent  bonds,  demands  and  claims  made  and  contracted  in  the  busi- 
ness during  the  preceding  year;  but  real  estate  shall  not  be  held  to  be 
capital,  but  shall  be  assessed  and  taxed  as  other  specific  property.     All 
other  property  held  by  such  merchant  or  firm  or  corporation  engaged 
in  mercantile  business,  not  offered  for  sale  as  merchandise,  shall   be 
separately  listed  and  taxed  as  other  property.     The  sums  required  by 
this  section  to  be  paid  when  the  license  is  taken  out  shall  be  collected  in 
the  same  manner  that  the  amounts  required  to  be  paid  for  other  licenses 
are  collected.     If,  after  the  close  of  the  year  for  which  his  license  is 
issued,  the  merchant  should  elect  not  to  renew  it,  but  desires  the  privi- 
lege to  sell  whatever  remnant  or  purchase  he  may  have  on  hand  at  the 
time,  it  may  be  lawful  for  him  to  do  so  upon  the  payment  for  a  license 
upon  said  remnant  of  merchandise   to  be  regarded  for  purposes  of  reve- 
nue as  purchases.     Dealers  in  coal,  wood  or  ice  paying  license  tax  under 
this  section  may  peddle  the  same  from  vehicles  without  paying  additional 
tax.     But  nothing  in  this  section  shall  be  so  construed  as  to  require  a 


Chapter  III — License  Laws  and  Taxes.  81 

license  of  any  person  who  may  canvass  any  county  or  corporation  to  buy 
lambs,  pigs,  calves,  fowls,  eggs,  butier  and  such  like  small  matters  of  sub- 
sistence designed  as  food  for  man,  but  any  person  who  shall  keep  a  place 
of  business  for  the  purpose  of  selling  such  articles  in,  or  within  a  half 
mile  of  any  city,  or  town  in  the  State,  shall  take  out  license  therefor,  as 
hereinbefore  prescribed;  provided,  that  dealers  in  coal  and  wood  in  cities 
of  forty  thousand  inhabitants  or  more  who  veddle  the  same  from  ve- 
hicles shall  pay  an  additional  tax  of  fifty  dollars  for  each  wagon  thus  used. 

Merchant  on  Train. 

46V2.  That  every  person,  firm,  company  or  corporation  engaged  in 
the  business  of  selling  on  railroad  trains  in  this  State,  newspapers, 
periodicals,  magazines,  candies,  fruits,  et  cetera,  shall  pay  a  license  tax 
at  the  rate  of  ten  cents  for  each  and  every  mile  of  track  for  which  the 
person,  firm,  company  or  corporation  operates  in  this  State. 

The  person,  firm,  company  or  corporation  desiring  to  take  out  the 
license  required  by  this  act  shall  make  a  sworn  statement  of  the  trackage 
over  which  it  is  proposed  to  operate  in  Virginia,  and  file  the  same  with 
the  commissioner  of  the  revenue,  to  whom  he  applies  for  the  license. 
Any  person,  firm,  company  or  corporation  making  a  false  statement 
under  oath  as  to  trackage  shall  be  guilty  of  a  misdemeanor,  and  shall 
be  fined  not  less  than  twenty-five  dollars  nor  more  than  five  hundred 
dollars  for  each  offense. 

The  license  required  by  this  act  shall  be  issued  by  the  commissioner 
of  the  revenue,  and  the  tax  thereon  shall  be  paid  to  the  county  or  city 
treasurer  where  the  license  is  issued,  in  the  same  manner  other  licenses 
are  applied  for  and  tax  thereon  paid  is  now  provided  by  law.  The 
license  issued  under  this  section  shall  be  good  on  railroad  trains  through- 
out the  State. 

Oyster  Packers. 

46V2.  (a).  Every  person,  firm  or  corporation  engaged  in  the  business 
of  shucking  or  packing  oysters  in  this  State  shall  pay  a  license  tax  for 
the  privilege  of  transacting  such  business,  to  be  graduated  by  the  amount 
of  oysters  shucked  or  packed  by  him  during  the  period  for  which  his 
license  is  granted.  To  ascertain  the  amount  of  ovsters  shucked  or  packed, 
it  shall  be  the  duty  of  such  person,  firm  or  corporation,  on  the  first  day 
of  April  of  each  year,  or  within  ten .  days  thereafter,  to  make  report 
in  writing,  under  oath,  to  the  oyster  inspector  for  the  district  for  which 
he  was  licensed,  showing  the  amount  of  oysters  actually  shucked  or 
packed  by  him  during  the  next  preceding  twelve  months.  The  form  of 
repoit  required  by  this  section  shall  be  prepared  by  the  auditor  of  public 
accounts  and  furnished  to  each  oyster  inspector  and  by  him  distributed 
to  each  licensed  oyster  packer,  and  each  inspector  shall,  in  the  mode 
prescribed  for  making  such  report  by  him  of  violations  of  the  oyster 
laws,  repoit  every  oyster  packer  who  shall  fail  to  comply  with  the  re- 
quirements of  this  section.  Any  person,  firm  or  corporation  violating 


Report  of  Committee  on  Tax  Revision. 


the  provisions  of  this  section  shall  pay  a  fine  of  not  less  than  thirty 
dollars,  nor  more  than  one  thousand  dollars,  for  each  offense. 

Oyster  Packers'  Licenses. 

46Vfe.  (b).  For  every  license  to  a  person,  firm  or  corporation  engaged 
in  the  business  of  shucking1  or  packing  oysters,  the  amount  to  be  paid 
shall  be  graduated  as  follows:  If  the  amount  of  oysters  shucked  or 
packed  by  such  person,  firm  or  corporation  shall  not  exceed  twenty-five 
thousand  gallons,  the  amount  shall  be  five  dollars.  When  the  amount 
of  such  oysters  exceeds  twenty-five  thousand  gallons,  but  does  not  ex- 
ceed fifty  thousand  gallons,  the  amount  shall  be  ten  dollars.  When 
the  amount  of  such  oysters  exceeds  fifty  thousand  gallons,  and  does  not 
exceed  one  hundred  thousand  gallons,  the  amount  shall  be  twenty-five 
dollars.  When  the  amount  of  such  oysters  exceeds  one  hundred  thousand 
gallons,  and  does  not  exceed  two  hundred  thousand  gallons,  the  amount 
shall  be  fifty  dollars.  When  the  amount  of  such  oysters  exceeds  two 
hundred  thousand  gallons,  the  amount  shall  be  one  hundred  dollars. 
The  sums  imposed  under  and  by  virtue  of  this  section  shall  be  in  lieu 
of  all  taxes  for  State  purposes  on  the  capital  actually  employed  by  said 
person,  firm,  or  corporation  in  said  business.  The  word  "capital"  shall 
include  moneys  and  credits  actively  used  in  carrying  on  the  business, 
including  goods,  wares  and  merchandise  on  hand,  and  all  solvent  bonds, 
demands,  and  claims  made  and  contracted  in  the  business  during  the 
preceding  year:  but  real  estate  shall  not  be  held  to  be  capital,  but  shall 
be  assessed  and  taxed  as  other  specific  property.  All  other  property 
held  by  such  person,  firm,  or  corporation  shall  be  listed  and  taxed  as 
other  property.  The  sums  required  by  this  section  to  be  paid  when  the 
license  is  taken  out  shall  be  collected  in  the  same  manner  that  the 
amounts  required  to  be  paid  for  other  licenses  under  the  oyster  laws  of 
the  State  are  collected,  and  shall  be  accounted  for  as  part  of  the  oyster 
fund. 

Railroad  and  Other  Incorporated  Companies  Which  Sell  Mineral  or 
Forest  Products  or  Other  Articles. 

47.  Every  railroad  company  or  other  incorporated  company  in  this 
Commonwealth,  whether  such  privilege  be  gi  anted  in  its  chaiter  or  not, 
which  shall  sell  any  mineral  or  forest  product,  or  any  other  article,  shall 
be  taxed  as  other  merchants  dealing  in  like  commodities.  This  act  shall 
apply  to  companies  keeping  commissaries,  or  having  agents  for  the  sale 
of  any  other  article  than  their  own  product:  provided,  'that  nothing 
herein  contained  shall  prevent  a  railroad  company  from  buying  and  dis- 
tributing to  its  employees,  as  part  of  their  compensation,  meat,  meal, 
aud  flour,  at  the  cost  price  thereof;  but  nothing  in  the  foregoing  shall 
be  construed  as  requiring  a  company  selling  the  products  of  their  own 
mines,  or  lands,  or  manufacturers,  to  pay  a  merchant's  license  for  so 
doing.  Any  railroad  company  or  other  incorporated  company  selling 
any  article  or  product  on  account  of  the  owner,  and  receiving  a  compen- 


Chapter  III — License  Laws  and  Taxes.  83 

sation  therefor  other  than  for  transportation,  storage,  or  handling  as 
provided  for  in  its  charter,  shall  pay  a  license  the  same  as  commission 
merchants.  It  shall  be  the  dutv  of  the  commissioner  of  the  revenue  to 
ascertain  the  liability  of  such  individuals  or  companies  in  this  State  to 
the  payment  of  such  license  taxes,  and  shall  assess  the  same  in  the  same 
manner  as  other  merchants. 

Commission  Merchants  and  Brokers. 

48.  Every  person,  firm  or  corporation  doing  business  in  this  State 
who  receives  or  distributes  provisions  and  merchandise,  including  flour, 
hay  or  grain,  shipped  to  such  person,  firm  or  corporation  for  distribution 
on  account  of  the  shipper,  or  who  participates  in  the  profits  ensuing 
from  or  accruing  out  of  the  sales  of  such  provisions  or  merchandise, 
including  flour   hay  or  grain,  or  who  invoices  such  sales  or  collects  the 
money  therefor,,  shall  be  deemed  to  be  a  bioker  who  receives  or  distributes 
provisions  and  merchandise,  including  flour,  hay  or  grain. 

Every  person,  firm,  or  corporation,  buying  or  selling  for  another  any 
kind  of  merchandise  on  commission  shall  be  a  commission  merchant. 
Any  person,  firm  or  corporation  licensed  as  a  commission  merchant  may 
sell  any  personal  property  which  may  be  left  with  or  consigned  to  him 
for  sale,  except  wine,  ardent  spirits  and  malt  liquors,  gold  or  silver  coin, 
bonds,  certificates  of  public  or  private  debts  or  other  securities;  provided, 
however,  that  any  such  merchant  may  sell  wine,  ardent  spirits  and  malt 
liquors,  gold  or  silver  coin,  bonds,  certificates  of  public  or  private  debts 
or  other  securities,  by  taking  out  the  license  therefor  prescribed  in  the 
case  of  liquor  merchants  or  stock  brokers.  Any  person,  firm  or  corpora- 
tion buying  or  selling  contrary  to  the  provisions  of  this  section,  or  who 
shall  in  any  manner  violate  the  same,  shall  pay  a  fine  of  not  less  than 
fifty  dollars,  nor  more  than  one  thousand  dollars  for  each  offense. 

Commission  Merchants  and  Brokers'  License. 

49.  Every  person,  firm  or  corporation  shall  pay  for  the  privilege 
of  transacting  the  business  of  a  commission  merchant  or  broker  the  sum 
of  fifty  dollars  piovided,  the  commissions  do  not  exceed  one  thousand 
dollars,,  but  when  the  commissions  exceed  one  thousand  dollars,  the  tax 
shall  be  fifty  dollars,  and  an  additional  tax  at  the  rate  of  one  dollar  on 
each  one  hundred  dollars,  or  fi action  thereof,  of  commissions  in  excess 
of  one  thousand  dollars;  and  if  the  license  is  to  include  the  privilege 
of  selling  wine,  ardent  spirits,  and  malt  liquors,  gold  or  silver  coins, 
bonds,  ceitiiicates  of  public  or  private  debts,  or  other  securities,  there 
shall  be  paid,  in  addition,  the  amounts  required  in  each  case  to  be  paid 
by  liquor  merchants  and  stock  brokers  and  in  like  manner. 

Sale  by  Peddlers. 

50.  Any  person  who  shall   carry  from  place  to  place,  any  goods, 
wares,  or  merchandise,  and  oil'er  to  sell  or  barter  the  same,  or  actually 
sell  or  barter  the  same,  shall  be  deemed  to  be  a  peddler,  and  any  person 


84:  Report  of  Committee  on  Tax  Revision. 

licensed  as  a  peddler  may  sell  any  personal  property  a  merchant  may 
sell,  or  he  may  exchange  the  same  for  other  articles;  and  whenever  a 
license  is  granted  to  a  peddler  to  sell  such  goods,  wares,  or  merchandise, 
his  license  shall  be  valid  for  one  year  from  date  of  its  issue.  Said  li- 
cense shall  not  be  transferable,  and  any  person  so  licensed  shall  endorse 
his  name  on  the  said  license,  and  such  license  shall  confer  authority  to 
sell  at  any  house  or  place  within  the  county  or  city  in  which  the 
license  was  granted.  Any  peddler  who  shall  peddle  for  sale  or 
sell  or  barter  without  a  license  shall  pay  a  fine  of  not  less  than  one 
hundred  dollars,  nor  more  than  five  hundred  dollars  for  each  offense, 
one-half  of  which  shall  go  to  the  informer;  any  person  selling:  or  offering 
to  sell  as  a  peddler  shall  exhibit  his  license  on  demand  of  any  citizen 
of  the  county,  city,  or  town  in  which  he  sells  or  offers  to  sell  or  barter; 
and  upon  his  failure  or  refusal  to  do  so  he  shall  be  subject  to  the  penalties 
of  peddling  without  a  license.  This  section  shall  be  construed  to  include 
persons  engaged  in  peddling  lightning  rods.  All  persons  who  do  not 
keep  a  regular  place  of  business  (whether  it  be  in  a  house,  on  a  vacant 
lot.  or  elsewhere),  open  at  all  times  in  regular  business  hours,  and  at 
the  same  place,  who  shall  offer  for  sale  goods,  wares  and  merchandise, 
shall  be  deemed  peddlers  under  this  act.  All  persons  who  keep  a  regular 
place  of  business,  open  at  all  times  in  regular  business  hours  and 
at  the  same  place,  and  who  shall  personally,  or  through  their 
agents,  offer  for  sale  or  sell,  and  at  the  time  of  such  offering  for 
sale,  deliver  goods,  wares  and  merchandise,  elsewhere  than  at  such  regular 
place  of  business,  shall  also  be  deemed  peddlers  as  above,  but  this  section 
shall  not  apply  to  those  who  sell  or  offer  for  sale,  in  person  or  by  their 
employees,  ice,  wood,  meats,  milk,  butter,  eggs,  poultry,  fish,  oysters, 
game,  vegetables,  fiuits,  or  other  family  supplies  of  a  perishable  nature 
grown  or  produced  by  them  and  not  purchased  by  them  for  sale. 

Peddlers'  License. 

61.  For  the  privilege  of  peddling  or  bartering  in  any  county,  city 
or  town,  there  shall  be  paid  two  hundred  and  fifty  dollars  for  each  per- 
son so  engaged  or  employed,  when  he  travels  on  foot,  and  when  he  peddles 
otherwise  than  on  foot,  the  tax  paid  shall  be  five  hundred  dollars,  ex- 
cept that  the  tax  on  peddleis  of  ice,  wood,  meat,  milk,  butter,  eggs, 
poultry,  fish,  oysters,  game,  vegetables,  fruits  or  other  family  supplies 
of  a  perishable  nature,  not  grown  or  produced  by  them,  shall  be  twenty- 
five  dollars  for  each  vehicle  used  in  such  peddling,  and  except  that  the 
tax  on  peddlers  of  pianos  and  organs  shall  be  ten  dollars  for  each  per- 
son engaged  in  selling  pianos  or  oigans  from  a  peddler's  wagon,  said 
tax  to  be  paid  to  the  proper  officer  of  each  county,  city,  and  town  wherein 
such  wagon  is  so  used;  provided,  however,  that  nothing  in  this  act  shall 
be  construed  to  prevent  any  city  or  town  from  requiring  an  additional 
license  tax  on  such  peddlers  of  pianos  and  organs,  where  the  charter  of 
such  city  or  town  authorizes  it  to  impose  license  taxes,  and  except  that 
the  tax  on  the  peddlers  of  lightning  rods  shall  be  two  hundred  dollars, 
and  that  peddlers  in  coal  and  wood  in  cities  of  over  forty  thousand  in- 
habitants who  peddle  the  same  from  vehicles,  shall  pay  a  tax  of  fifty 


Chapter  III — License  Laws  and  Taxes.  85 

dollars  for  each  vehicle  used;  provided,  that  no  State  license  tax 
shall  be  imposed  on  peddlers  of  meats  sold  in  the  country.  Every 
vehicle  used  in  peddling  as  aforesaid  shall  have  conspicuously  dis- 
played thereon  the  name  of  the  peddler  using  the  same,  together  with 
the  street  and  number  of  his  residence,  if  he  resides  in  any  city  or  town. 
It  shall  be  the  duty  of  the  commissioner  of  revenue  to  issue  a  peddler's 
license  to  a  person  desiring  to  obtain  the  same,  upon  the  presentation  to 
him  of  the  ceitificates  of  the  county  or  citv  treasurer  that  the  license 
tax  has  been  paid  to  him.  Nothing  under  this  or  the  preceding  section 
shall  be  construed  to  require  of  any  fanner  a  peddler's  license  for  the 
privilege  of  selling  or  peddling  farm  products,  wood  or  charcoal  grown 
or  produced  by  him. 

Lightning  Rod  Merchant. 

51  (a).  1.  That  any  person,  firm,  or  corporation  who  sells  by  sample 
in  person  or  through  agents  taking  orders  and  thereafter  delivering  the 
lightning  rods  and  all  material  necessary  to  the  erection  of  the  same  to 
the  person  or  persons  from  whom  said  orders  have  been  secured  and 
erecting  the  same  as  directed,  the  same  shall  be  known  as  a  lightning 
rod  merchant. 

2.  Every  such  lightning  rod  merchant  shall  pay  a  specific   State 
license  tax  of  twenty-live  dollars  for  each  license  year,  which  shall  not  be 
subject  to  any  abatement,  and  shall,  in  addition  to  said  State  license, 
secure  from  the  commissioner  of  every  county  or  city,  in  which  such 
business  is  done  an  additional  license  for  each  license  year  of  ten  dollars. 

3.  Nothing  in  this  act  shall   apply  to  peddlers  of  lightning  rods 
selling  and  delivering  same  at  the  time  of  the  sale.     Any  person,  firm, 
or  corporation,  selling  contrary  to  the  provisions  of  this  act  shall  be 
fined  not  less  than  fifty  dollars  nor  more  than  five  hundred  dollais  for 
each  offense. 

Sale  or  Barter  of  Patent  Rights. 

52.  No  person,  except  the  patentee,  shall  sell  or  barter  the  right  to 
manufacture  or  use  any  machinery  or  other  thing  patented  under  the 
laws  of  the  United  States,  without  first  having  obtained  a  license  there- 
for from  some  commissioner  of  the  revenue  of  a  county  or  citv,  which 
license  shall  grant  the  privilege  of  selling  anywhere  in  the  State,  but  if 
used  out  of  the  county  or  city  where  granted  shall  be  authenticated  by 
the  certificate  of  the  clerk  of  the  circuit  court  of  the  county,  or  the 
clerk  of  the  corporation  court  of  the  city  where  granted,  that  the  person 
signing  the  same  is  really  the  commissioner  of  the  revenue,  and  that 
his  signature  is  believed  to  be  genuine.  A  separate  license  shall  be 
required  on  each  patented  thing  of  which  the  right  to  make  or  use  is 
sold,  but  any  person  owning  the  State  right  for  any  patented  thing  may 
sell  anywhere  in  the  State  through  agents  provided  with  a  copy  of  his 
license  thus  obtained  certified  as  hereinbefore  provided.  Any  person 
violating  the  provisions  of  this  section  shall  pay  a  fine  of  not  less  than 
fifty  dollars  nor  more  than  five  hundred  dollars  for  each  oifense. 


86  Report  of  Committee  on  Tax  Revision. 


License  for  Sale  or  Barter  of  Patent  Rights. 

53.  Every  person  who  shall  sell  or  barter  the  right  to  manufacture 
or  use  machinery  or  other  thins:  patented  under  the  laws  of  the  United 
States,  except  the  patentee,  if  he  be  a  citizen  of  the  United   States, 
shall  pay  for  the  privilege  the  sum  of  twenty-five  dollars.     Nothing  in 
this  or  the  preceding  section  shall  be  construed  to  authorize  the  sale  of 
the  article  or  thing  patented. 

Land  Agents. 

54.  No  person,  firm,  or  corporation  shall   without  a  license,  act  as 
a^-ent  for  the  sale  of  lands.     Any  person  licensed  as  a  land  agent  may 
sell  land  in  this  Commonwealth  entrusted  to  him  for  sale.     Anv  person 
selling  land  or  offering  to  sell  the  same,  who  is  not  an  auctioneer,  or 
who  has  not  the  fee  simple  title,  or  any  other  less  estate  therein,  shall 
be  held  to  be  a  land  agent;  but  this  section  shall  not  be  construed  to 
prevent  any  person  not  engaged   in   the  business  of  selling  land   for 
compensation  from  selling,  without  license,  any  lands  for  the  sale  of 
which  he  has  a  duly  authenticated  power  of  attorney,  nor  commissioners 
and  receivers  appointed  by  the  courts,  nor  executors  of  wills,  nor  trustees 
in  deeds  of  trust.    For  any  violation  of  this  section  the  person  offending 
shall  pay  a  fine  of  not  less  than  one  hundred  dollars  nor  more  than  five 
hundred  dollars  for  each  offense. 

License  on  a  Land  Agent. 

55.  A  land  agent  shall  pay  for  the  privilege  of  selling  land  entrusted 
to  him  for  sale,  the  sum  of  ten  dollars  and  one-eighth  of  one  per  centum 
on  amount  of  sales;  provided,  however  that  if  his  place  of  business  is 
in  a  town  or  city  of  more  than  two  thousand  and  not  exceeding  three 
thousand  inhabitants,  he  shall  pay  the  additional  sum  of  ten  dollars; 
if  in  a  town  or  city  of  more  than  three  thousand  and  not  exceeding  four 
thousand  inhabitants,  he  shall  pay  the  additional  sum  of  twenty  dollars; 
if  in  a  town  or  city  of  more  than  four  thousand  and  not  exceeding  five 
thousand  inhabitants,  he  shall  pay  the  additional  sum  of  thirty  dollars; 
if  in  a  town  or  city  of  five  thousand  inhabitants  or  more,  he  shall  pay 
the  additional  sum  of  forty  dollars;  and,  provided,  further,  that  where 
there  is  a  firm  of  land  agents  doing  business  at  one  locality,  said  tax 
shall  be  on  the  firm  and  not  on  each  member  thereof. 

Book  Agents. 

56.  No  person,  firm,  or  corporation  shall,  without  a   license,  act 
as  a  book  agent. 

Any  person,  firm  or  corporation,  other  than  a  licensed  merchant, 
who  shall  receive  subscriptions  for,  or  shall  in  any  manner  furnish  books, 
maps,  prints,  pamphlets  or  periodicals,  shall  be  deemed  to  be  a  book 
agent.  Any  person  desiring  to  distribute  or  sell  any  religious  books, 
pamphlets,  or  periodicals,  may  apply  to  the  judge  of  the  county,  circuit 


Chapter  III — License  Laws  and  Taxes.  87 

or  corporation  court  of  any  county  or  city  in  which  he  may  desire  to 
distribute  or  sell  the  same  and  said  judge,  upon  being  satisfied  that 
the  person  applying  is  of  good  character,  and  a  proper  person  in  whom 
to  confide  the  trust  of  selling  or  distributing  such  books,  may  direct 
the  commissioner  of  the  revenue  to  grant  him  a  license  without  the 
payment  of  a  license  tax  therefor.  Any  person,  firm,  or  corporation 
violating  the  provisions  of  this  section  shall  pay  a  fine  of  not  less  than 
fifty  dollars  nor  more  than  one  hundred  dollars  for  each  offense. 

License  on  Book  Agents. 

57.  A  book  agent  shall  pay  for  the  privilege  of  acting  as  such  the 
sum  of  ten  dollars. 

Auction  Sales;  Who  May  Sell  Without  a  License. 

58.  N"o  person  shall  sell  at  auction  or  public  outcry,  for  compensation, 
without  a  license,  except  in  the  following  cases — to-wit: 

First.  The  estate  of  a  decedent  may  be  sold  by  his  personal  repre- 
sentative or  his  agent,  according  to  law  or  the  provisions  of  the  will. 

Second.  Property  conveyed  by  deed  of  trust,  or  decreed  or  ordered 
to  be  sold  by  a  court,  may  be  sold  according  to  the  deed,  decree  or  order. 

Third.  Any  person  may  sell  the  agricultural  products  of  this  State 
arising  from  his  own  or  other  labor  under  his  control,  or  his  real  or 
personal  estate  not  sold  or  purchased  on  speculation. 

Fourth.  Any  officer  may  sell  property  distrained  by  him  under 
execution  or  other  legal  process. 

Fifth.  Licensed  commission  merchants  may  sell  live  or  dressed 
fowls,  fresh  vegetables,  and  fresh  fish,  upon  taking  out  license  of  a 
common  crier. 

Auctioneer's  Account  of  Sales. 

59.  Every  auctioneer  other  than  a  tobacco  auctioneer  shall  keep  an 
account  of  sales  made  by  him,  showing  the  aggregate  amount  thereof; 
and  whenever  required  by  a  commissioner  of  the  revenue,  shall  render 
an  account  for  assessment,  of  all  his  sales  during  the  period  for  which 
his  license  was  granted,  and  shall  sign  and  answer  all  interrogatories 
respecting  such  sales  as  may  be  propounded  to  him  in  pursuance  of 
law.    Such  accounts,  statements  and  answers  shall  always  be  on  oath. 

What  An  Auctioneer  May  Do. 

60.  An  auctioneer  may  conclude  the  sales  of  anything  he  is  auth- 
orized to  sell,  grant  a  certificate  or  other  evidence  of  the  sale,  and  re- 
ceive the  money;  but  no  auctioneer  shall  authorize  or  permit  any  person 
to  sell  any  property  under  and  by  virtue  of  his  license,  except  the  person 
so  authorized  or  permitted  is  actually  and  bona  fide  in  the  employment 
of  such  auctioneer,  and  is  actually  and  bona  fide  a  resident  of  the  county 


88  Report  of  Committee  on  Tax  Revision. 

or,  city  where  such  auctioneer  is  licensed  to  do  business,  and  the  com- 
missions on  such  sale  are  actually  and  bona  fide  for  the  benefit  of  such 
auctioneer;  and  no  license  shall  be  construed  to  authorize  the  person 
to  whom  it  is  issued  to  sell  at  more  than  one  regular  establishment;  bur 
an  auctioneer  may  sell  anywhere  in  the  county  or  city  wherein  he  is 
licensed,  public  stocks,  houses,  lots,  and  furniture  or  ships  or  vessels. 
on  the  premises  where  the  same  may  be  or  at  the  exchange  or  the  store 
of  a  regular  licensed  merchant  declining  business,  or  goods  in  the  origi- 
nal form  and  packages  as  imported  and  bulky  articles  such  as  have 
been  usually  sold  in  warehouses,  or  in  the  public  streets,  or  on  the 
wharves,  or  at  such  other  places  in  the  county  or  city  wherein  such 
auctioneer  is  licensed,  as  shall  be  desired  by  the  owner  or  importer  of 
such  bulky  articles  or  imported  goods.  If  any  auctioneer  shall  violate 
any  of  the  provisions  of  this  section,  he  shall  forfeit  and  pay  for  every 
offense  twenty  dollars,  to  be  recoveied  for  the  use  of  the  party  prosecut- 
ing the  same  before  a  justice  of  the  peace,  in  like  manner  as  other  fines 
and  penalties  are  imposed  and  collected.  The  offer  to  sell  each  article 
shall  be  deemed  a  sepaiate  offense  . 

Classification  of  Auctioneers. 

61.  Auctioneers  shall  consist  of  general  auctioneers,  real  estate  auc- 
tioneers, and  tobacco  auctioneers,  and  shall  be  so  classified  that  their 
poweis  and  duties  and  the  restrictions  and  penalties  thereon  shall  be 
separate  and  distinct — that  is  to  say : 

General  Auctioneers;  What  They  May  Sell. 

62.  Any  person,  licensed  as  a  general  auctioneer,  may  sell  any  goods, 
wares,  merchandise,  and  other  articles  not  prohibited  by  law;  but  he 
shall  not  sell  wine,  ardent  spirits,  malt  liquors   or  any  mixture  thereof, 
unless  and  until  he  shall  have  obtained  a  license  therefor  in  the  mode 
prescribed  by  law. 

General  Auctioneers'  License. 

63.  A  general  auctioneer  shall  pay  the  sum  of  fifty  dollars,  and  if  tin* 
place  of  business  is  in  a  city  or  town  having  a  population  of  more  than 
five  thousand  inhabitants,  two  dollars  for  every  thousand  above  that 
number;  but  said  sum  shall  in  no  case  exceed  one  hundred  and  thirty 
dollars.     And  he  shall  pay  an  additional  sum  of  one-fourth  of  one  per 
centum  on  the  amount  of  sales  for  the  year.     If  he  sells  wine,  ardent 
spirits,  malt  liquors,  or  any  mixture  thereof,  he  shall  pay  one-half  of  oiv 
per  centum  on  the  amount  of  such  sales. 

Real  Estate  Auctioneers. 

64.  Any  person  licensed  as  a  real  estate  auctioneer,  may  sell,  in  the 
county  or  city  wherein  he  is  licensed,  at  auction  or  privately,  any  real 
estate  in  this  Commonwealth  entrusted  to  him  for  sale;  provided    that 


Chapter  III — License  Laws  and  Taxes.  89 

no  such  auctioneer  shall  be  allowed  to  negotiate  loans  upon  a  mortgage 
of  real  estate  or  otherwise,  without  taking  an  additional  license  as  a 
private  banker.  For  any  violation  of  this  section  the  person  so  offend- 
ing shall  pay  a  fine  of  not  less  than  one  hundred  dollars,  nor  more  than 
one  thousand  dollars,  for  each  offense. 

Real  Estate  Auctioners'  License. 

65.  A  real  estate  auctioneer  shall  pay  the  sum  of  fifty  dollars ;  if  the 
place  of  business  is  in  a  city  or  town  containing  a  population  of  five 
thousand  inhabitants  or  under,  he  shall  pay  seventy-five  dollars;  if  hi 
z  city  of  more  than  five  thousand,  but  not  exceeding  twenty  thousand 
inhabitants,  he  shall  pay  one  hundred  dollars;  and  in  a  city  of  more 
than  twenty  thousand  inhabitants,  he  shall  pay  one  hundred  and  twenty- 
five  dollars. 

Tobacco  Auctioneers. 

66.  Any  person  or  firm  licensed  as  a  tobacco  auctioneer  may  sell  at 
auction  any  tobacco,  not  prohibited  by  law  to  be  sold.    For  any  violation 
of  this  section  the  person  or  firm  offending  shall  pay  a  fine  of  not  less 
than  fifty  dollars  nor  more  than  five  hundied  dollars  for  each  offense. 

Tobacco  Auctioneers'  License. 

67.  Tobacco  auctioneers  shall  pay  for  the  privilege  of  transacting 
business  twenty-five  dollars,  except  in  cities  they  shall  pay  fifty  dollars; 
and,  provided  further,  that  in  incorporated  towns  the  auctioneer  for  any 
warehouse  or  warehouses  in  which  were  sold  during  the  previous  year, 
ending  Apiil  thirtieth,  five  million  pounds  or  moie  of  tobacco,  shall 
pay  fifty  dollars;  but  in  any  case  where  such  sales  amount  to  less  than 
one  million  pounds,  the  tax  shall  be  only  ten  dollars. 

Licenses  to  Retailers  of  Tobacco. 

68.  No  person  not  a  producer  shall  be  allowed  to  sell  bv  retail  to- 
bacco, snuff,  or  cigars  without  having  obtained  a  specific  license  to  do 
so.     The  sums  to  be  paid  by  retailers  of  tobacco,  snuff,  or  cigars  shall 
be  for  said  privilege  a  specific  tax  of  five  dollars,  which  shall  be  assessed 
and  collected  as  other  assessments  upon  license,  but  which  shall  not  be  in 
lieu  of  merchants'  license  on  purchases. 

Junk  Dealers,  Canvassers,  Etc. 

69.  No  keeper  of  a  shop,  for  the  purpose  herein  mentioned,  or  master 
of  a  vessel,  or  other  person,  shall,  without  a  license  authorized  by  law, 
purchase,  sell,  barter,  or  exchange  any  kind  of  second  hand  articles, 
junk,  rags,  bones,  bottles,  puer,  scrap,  metals,  iron,  paper,  old  lead  pipe, 
old   bath-room   fixtures,   or   other   like   commodities,   except   furniture, 
clothes,  shoes  and  stoves  intended  to  be  re-sold  for  use  as  such.     The 


90  Report  of  Committee  on  Tax  Revision. 

hustings  or  corporation  court  of  any  city,  and  the  circuit  court  of  any 
county,  may  grant  a  license  to  any  citizen  of  the  United  States  who 
shall  produce  to  it  satisfactory  evidnece  of  his  good  character  to  carry 
on  the  business  of  a  junk  dealer  which  license  shall  designate  the  build- 
ing in  which  said  person  shall  exercise  or  carry  on  said  business;  and 
no  person  shall  exercise  or  carry  on  the  business  of  a  junk  dealer  with- 
out being  duly  licensed,  nor  in  any  other  building  than  the  one  desig- 
na*ed  in  said  license,  ex-c-pr  by  the  consent  of  the  court  which  granted 
the  license,  under  the  penalty  of  fifty  dollars  for  each  day  he  shall  exer- 
cise or  carry  on  said  business  without  such  license,  or  in  any  other 
building  than  the  one  so  designated,  except  by  the  consent  of  the  court 
aforesaid.  The  place  at  which  such  business  may  be  conducted  shall 
be  kept  open  for  the  purchase  or  sale  of  any  of  the  articles  mentioned 
aforesaid.  Nor  shall  any  purchase  be  made  by  such  person,  or  by  any 
other  person  or  persons  for  him,  except  between  the  hours  of  sunrise  and 
sunset;  and  such  place  of  business  shall  be  open  at  all  times  to  the 
inspection  of  any  revenue  or  police  officer  of  the  county  or  corporation 
wherein  the  license  issued.  Every  person  receiving  such  license  shall 
place  over  the  principal  entrance  of  his  place  of  business  a  sign  designat- 
ing that  he  is  a  licensed  junk  dealer.  No  person  shall  canvass  for  the 
purpose  of  buying  any  junk  or  other  like  commodity  enumerated  above 
in  this  section,  for  any  such  junk  dealer,  or  for  sale  to  such  junk  dealer, 
or  to  any  other  person  unless  such  person  be  authorized  so  to  do,  in 
writing,  by  some  junk  dealer  licensed  under  this  section.  Every  such 
junk  dealer,  desiring  to  appoint  such  canvassers,  shall  take  out  a  license 
for  such  number  as  he  shall  wish  to  appoint.  Such  canvasser's  license 
shall  be  issued  in  the  name  of  the  dealer  applying  therefor,  and  shall 
state  the  number  and  names  of  the  persons  such  dealer  shall  be  entitled 
to  appoint.  And  no  dealer  shall  at  any  time  appoint  a  greater  number 
of  canvassers  than  is  named  in  his  license;  but  he  may  at  any  time 
appoint  additional  canvassers  upon  first  obtaining  an  additional  license 
therefor.  Canvassers  so  appointed  shall  be  permitted  to  canvass  any- 
where in  this  State.  Any  person  violating  the  provisions  of  this  section 
shall  pay  a  fine  of  not  less  than  fifty  dollars  nor  more  than  one  hundred 
dollars  for  each  offense.  Nothing  contained  in  this  section  shall  be 
construed  or  operate  to  prevent  any  person,  firm,  or  corporation  keep- 
ing or  operating  a  foundry  from  exchanging  his  new  castings  for  old 
ones,  or  from  buying  any  old  metals  or  old  machines  for  use  in  his 
business,  or  to  be  renovated  and  sold;  but  nothing  herein  contained 
shall  authorize  any  foundry  man  to  buy  any  old  metals  or  old  machines, 
and  sell  them  again  in  the  same  condition  as  they  were  when  pur- 
chased. Nothing  in  this  section  shall  be  construed  to  prevent  any 
regular  licensed  merchant  in  the  country,  or  in  towns  having  a  popula- 
tion of  two  thousand  or  less,  from  buying  or  trading  for  rags, 
old  iron,  or  other  articles  of  junk,  unless  there  be  a  regular  licensed 
junk  dealer  within  three  miles  of  his  place  of  business,  such  mer- 
chant to  be  subject  at  all  times  to  the  same  conditions  of  inspec- 
tion as  a  regular  junk  dealer.  Every  junk  dealer  and  every  merchant 
and  foundryman  who  deals  in  junk,  old  metals,  et  cetera,  shall  keep 
at  his  place  of  business  a  book,  in  which  shall  be  fairly  written  in 


Chapter  III — License  Laws  and  Taxes.  91 

English,  at  the  time  of  each  transaction  in  the  course  of  his  business, 
an  accurate  account  of  such  transaction  as  to  the  purchase  of  rags,  hones, 
old  iron,  and  paper,  setting  forth  a  description  of  the  goods,  articles, 
or  any  thing  purchased,  the  time  of  receiving  the  same,  the  name  and 
residence  of  the  person  selling  or  delivering  the  same,  the  terms  and 
conditions  of  purchase  or  receipt  thereof,  and  all  other  facts  and  cir- 
cumstances respecting  such  purchase  or  receipt.  Which  said  book  or 
books  shall,  at  all  times,  be  subject  to  the  inspection  of  the  judges  of 
the  criminal  courts,  the  chief  of  police,  the  captains  and  sergeants  of 
the  police  of  the  city,  town  or  county  wherein  such  business  is  being 
conducted,  or  any  or  either  of  them,  sergeant  and  sheriff  of  such  city, 
town  or  county,  or  other  officer  with  police  jurisdiction;  provided,  how- 
ever, that  this  section  shall  not  apply  to  articles  bought  without  the 
State  of  Virginia.  -It  shall  be  the  duty  of  every  junk  dealer,  every  such 
merchant  and  foundryman,  to  admit  to  his  premises  at  any  time  any 
officer  mentioned  above,  to  examine  anv  books  or  other  record  on  the 
premises,  as  well  as  the  articles  purchased  or  received;  and  to  search  for 
and  take  into  possession  any  article  known  bv  him  to  be  missing,  or 
known  or  believed  by  him  to  be  stolen,  without  the  formality  of  search 
warrant  or  any  other  process,  which  search  or  seizure  is  hereby  authorized. 
Every  junk  dealer  shall  be  liable  to  all  the  penalties  herein  provided 
for  violation  of  any  of  the  provisions  of  this  section,  whether  such  viola- 
tion be  committed  by  himself  or  by  his  agent,  clerk,  or  employee. 

Junk  Dealers'  License. 

70.  Every  junk  dealer  shall   pav  for  the  privileges  of  transacting 
business  the  sum  of  fifty  dollars,  and  for  the  privilege  of  appointing  can- 
vassers, for  the  purpose  of  buying  any  junk  or  other  matter  or  things 
for  any  such  junk  dealer,  or  for  sale  to  a  junk  dealer,  the  sum  of  twenty- 
five  dollars  for  each  canvasser  appointed  and  licensed. 

Common  Criers. 

71.  No  person  shall  act  as  a  common  crier  without  a  license.  A  person 
licensed  as  a  common  crier  may,  except  in  cities  of  over  fifteen  thousand 
inhabitants,  cry  for  sale  at  any  place  in  the  county  or  citv  in  which  his 
license  issued,  any  property,  real  or  personal,  for  an  auctioneer,  fiduciary, 
or  the  owner  of  the  property,  when  such  owner  is  authorized  to  sell  the 
same  by  auction,  but  he  shall  not  conduct  a  sale  otherwise  than  under 
the  present  and  immediate  direction  of  the  property  owner  or  other 
person  authorized  to  sell  the  same,  nor  shall  he  cry  such  property  or 
conduct  such  sale  by  an   agent.     He  shall   not,  as  such  crier,  receive 
money  on  account  of  the  sale  or  errant  acquittances.     He  may  receive 
for  his  services  a  stated  compensation,  but  he  shall  not  receive  any  com- 
mission or  percentage  on  the  amount  of  the  sale,  nor  anv  specific  or 
contingent  interest  in  the  sale  as  a  compensation  for  his  services,  directly 
or  indirectly.    Any  person  licensed  as  a  common  crier  in  a  city  of  over 
fifteen  thousand  inhabitants  may  sell  fowl,  butter,  fresh  fish,  fresh  vege- 
tables, fruit,  or  articles  of  like  perishable  nature.     For  any  violation 


92  Report  of  Committee  on  Tax  Revision. 

of  this  section  the  person  offending  shall  pay  a  fine  of  not  less  than 
fifty  nor  more  than  five  hundred  dollars  for  each  offense. 

License  to  Common  Criers. 

72.  Each  and  every  person,  in  order  to  be  licensed  as  a  common 
crier,  shall  pay  five  dollars. 

Ship-Brokers. 

73.  No  person,  firm,  or  corporation  shall  act  as  a  ship-broker  without 
a  license.     Any  person  engaged  in  the  management  of  business  matters 
occurring  between  the  owners  of  vessels  and  the  shippers  or  consignors 
of  the  freight  which  thev  carry,  shall  be  deemed  to  be  a  ship-broker. 
Any  person,  firm,  or  corporation  violating  the  provisions  of  this  section 
shall  pay  a  fine  of  not  less  than  one  hunched  dollars  nor  more  th::in  live 
hundred  dollars  for  each  offense. 

Ship-Brokers'  License. 

74.  A  ship-broker  shall  pay  for  the  privilege  of  transacting  business 
the  sum  of  fifty  dollars. 

Stock  Brokers. 

75.  No  person,  firm,  bank,  .or  corporation  shall,  without  license,  act 
as  a  stock  broker.     Any  person,  firm,  bank,  or  corporation  that  deals 
in  coin,  foreign  or  domestic  exchange,  government  stock,  or  other  cer- 
tificates .of  debt,  or  shares  in  any  corporation  or  chartered  company, 
bank  notes   or  other  notes  used  in  currency,  or  who  sells  the  same  or 
any  of  them  on  commission  or  for  other  compensation,  or  who  nego- 
tiates loans  upon  real  estate  security,  except  a  licensed  attorney  at  law, 
shall  be  deemed  to  be  a  stock  broker.    A  stock  broker  shall  have  the  right 
to  buy  and  sell  for  profit,  or  to  sell  on  commission,  the  coin,  exchange, 
stocks,  certificates  of  debt,  shares  in  chartered  companies,  bank  notes, 
and  notes  used  as  a  currency  as  aforesaid,  and  may  sell  either  privately 
or  by  auction,  and  also  negotiable  loans  upon  real  estate  security.     Any 
person,  bank,  or  corporation  violating  the  provisions  of  this  section  shall 
pay  a  fine  of  not  less  than  one  hundred  dollars  nor  more  than  five  thou- 
sand dollars  for  each  offense. 

Bankers  or  Brokers  Engaged  in  Dealing  in  Options  or  Futures. 

Any  person,  firm,  or  corporation  engaged  in  buying  and  selling,  or 
who  receives  orders  to  buy  or  sell,  cotton,  grain,  provisions,  or  other 
commodities,  stocks,  or  bonds,  shall  be  deemed  to  be  a  banker  or  broker 
dealing  in  options  and  futures.  Any  person  so  dealing  in  options  or 
futures  without  a  license  to  transact  or  engage  in  such  business  shall 
pay  a  fine  of  not  less  than  three  hundred  dollars,  nor  more  than  five 
hundred  dollars  for  each  offense. 


Chapter  III — License  Laws  and  Taxes.  93 

License  to  Bankers  or  Brokers  Dealing  in  Options  or  Futures. 

Every  banker  or  broker  dealing  in  options  or  futures  or  in  buying 
or  selling  options  or  futures  shall  pay  the  sum  of  two  hundred  dollars 
for  the  privilege  of  transacting  such  business. 

License  to  Stock  Brokers. 

76.  A  stock  broker  shall  pay  for  the  privilege  of  transacting  business 
the  sum  of  one  hundred  dollars,  but  in  towns  or  cities  of  over  five  thou- 
sand and  not  more  than  ten  thousand  inhabitants  he   shall  pay  one 
hundred  and  fifty  dollars,  and  in  cities  of  more  than  ten  thousand  in- 
habitants he  shall  pay  two  hundred  and  fifty  dollars  for  each  office  or 
place  of  business  kept  for  that  purpose. 

Private  Bankers. 

77.  No  person  or  firm  shall  engage  in  the  business  of  a  private  banker 
without  a  license.     Any  person  or  firm  engaged  in  the  business  of  re- 
ceiving money  on  deposit,  in  lending  or  advancing  money,  or  in  nego- 
tiating loans  on  notes,  bonds,  furniture,  or  any  class  of  security  or 
securities,  or  in  discounting,  buying  or  selling  negotiable  or  other  paper 
or  credits,  commonly  known  as  street  brokers   whether  at  an  office  kept 
for  the  purpose  or  elsewhere,  shall  be  deemed  to  be  a  private  banker. 
Any  person  or  firm  violating  the  provisions  of  this  section  shall  pay 
a  fine  of  not  less  than  one  hundred  dollars  nor  more  than  five  thousand 
dollars  for  each  offense. 

License  to  Private  Bankers. 

78.  A  private  banker  shall  pay  fifty  dollars  on  a  capital  of  five  thou- 
sand dollars  or  under;  one  hundred  dollars  on  a  capital  exceeding  five 
thousand  and  not  exceeding  ten  thousand ;  one  hundred  and  fifty  dollars 
on  a  capital  from  ten  thousand  dollars  to  twenty  thousand  dollars;  two 
hundred  and  fifty  dollars  on  a  capital  of  over  twenty  thousand  dollars  a-,  id 
not  exceeding  thirty  thousand  dollars,  and  an  additional  sum  of  five 
dollars  per  thousand  on  every  thousand  dollars  in  excess  of  thirty  thou- 
sand dollars. 

Pawnbrokers. 

79.  No  person  shall,  without  a  license,  act  as  a  pawnbroker.     Any 
person  who  shall  in  any  manner  lend  or  advance  money  or  other  things 
for  profit  on  the  pledge  and  possession  of  personal  propertv.  or  other 
valuable  things  other  than  securities  or  written  or  printed  evidences  of 
indebtedness,  or  who  deals  in  the  purchasing  of  personal  property  or 
other  valuable  thing  on  condition  of  selling  the  same  back  to  the  seller 
at  a  stipulated  price,  shall  be  held  to  be  a  pawnbroker.     Any  person 
acting  as  pawnbroker  without  a  license  shall  pay  a  fine  of  not  less  than 
fifty  dollars  nor  more  than  five  hundred  dollars  for  each  offense. 


94  Report  of  Committee  on  Tax  Revision. 

The  hustings  or  corporation  court  of  any  city,  and  the  circuit  or 
county  court  of  any  county,  may  from  time  to  time,  grant  a  license  to- 
any  citizen  of  the  United  States,  who  shall  produce  satisfactory  evidence 
of  his  good  character,  to  exercise  or  carry  on  the  business  of  a  pawn- 
broker in  his  city  or  county,  which  license  shall  designate  the  building 
in  which  said  person  shall  carry  on  said  business;  and  no  person  shall 
exercise  or  carry  on  the  business  of  a  pawnbroker  without  being  duly 
licensed  by  the  hustings  or  corporation  court  of  the  city,  or  the  circuit 
or  county  court  of  the  county  in  which  he  may  desire  to  carry  on  said 
business,  nor  in  any  other  building  other  than  the  one  designated  in 
said  license,  except  by  consent  of  the  court  which  granted  the  license, 
under  the  penalty  of  fifty  dollars  for  each  day  he  shall  exercise  or  carry 
on  said  business  without  such  license  or  in  any  other  building  than 
the  one  so  designated. 

Every  person  so  licensed,  shall,  at  the  time  of  receiving  such  license 
and  before  the  same  shall  be  operative,  enter  with  two  sufficient  sureties, 
into  a  joint  and  several  recognizance  to  the  Commonwealth  of  Virginia 
in  the  penal  sum  of  two  thousand  five  hundred  dollars,  conditioned 
for  the  due  observance  of  all  acts  of  the  general  assembly  of  Virginia 
which  may  be  in  force  respecting  pawnbrokers  at  any  time  during  the 
continuance  of  such  license.  If  any  person  shall  be  aggrieved  by  the 
misconduct  of  any  such  licensed  pawnbroker,  and  shall  recover  judgment 
against  him,  therefor,  such  person  may,  after  the  return  unsatisfied, 
either  in  whole  or  part,  of  any  execution  issued  upon  said  judgment, 
maintain  an  action  in  his  own  name  upon  the  bond  of  said  pawnbroker 
in  any  court  having  jurisdiction  of  the  amount  claimed;  movii.led,  s:u-h 
court  shall,  upon  the  application  made  for  the  purpose,  ^ranfc  su^h 
leave  to  prosecute. 

Every  pawnbroker  shall  keep  a  book,  in  which  shall  be  fairly  written 
at  the  time  of  each  loan  an  accurate  account  and  description  of  the 
goods,  article,  or  thing  pawned  or  pledged,  the  amount  of  money  loaned 
thereon  at  the  time  of  pledging  same  the  rate  of  interest  to  be  paid  on 
such  loan,  and  the  name  and  residence  of  the  person  pawning  or  pledging 
the  said  goods,  article,  or  thing,  together  with  a  particular  description 
of  such  person,  including  complexion,  color  of  eyes  and  hair,  and  his 
or  her  height  and  general  appearance. 

Every  pawnbroker  shall  at  the  time  of  each  loan  deliver  to  the  person 
pawning  or  pledging  any  goods,  article,  or  thing,  a  memorandum  or  note, 
signed  by  him  or  her,  containing  the  substance  of  the  entry  required  to  be 
made  in  his  or  her  book  by  the  last  preceding  section,  except  as  to  the 
description  of  the  person,  and  no  charge  shall  be  made  or  received  by 
any  pawnbroker  for  any  such  entry,  memorandum  or  note. 

Such  book  shall  at  all  reasonable  times  be  open  to  inspection  of  the 
judges  of  the  criminal  courts,  the  chief  of  police,  and  captains  and  ser- 
geants of  the  police  of  the  city,  town  or  county  wherein  such  business 
is  being  conducted,  or  any  or  either  of  them,  sergeant  and  sheriff  of 
such  city,  town  or  county,  or  other  officer  with  police  jurisdiction. 

No  pawnbroker  shall  sell  any  pawn  or  pledge  until  the  same  shall 
have  remained  four  months  in  his  or  her  possession,  unless  by  consent 
in  writing  of  the  pawner.  and  all  such  sales  shall  be  made  at  public 


Chapter  III — License  Laws  and  Taxes.  9f> 

auction  and  not  otherwise,  and  shall  be  made  or  conducted  by  such 
auctioneers  as  shall  be  designated  and  approved  of  for  that  purpose  by 
the  court  granting  the  license. 

Notice  of  every  such  sale  shall  be  published  for  at  least  five  days 
previous  thereto,  in  one  or  more  of  the  daily  newspapers  of  general  cir- 
culation printed  in  such  city.  Those  doing  business  in  any  county 
shall  advertise  as  above  in  some  newspaper,  if  any  be  published  in  said 
county,  and  if  no  newspaper  be  published  in  such  county,  then  in  some 
newspaper  published  in  an  adjoining  county,  and  such  notice  shall  specify 
the  time  and  place  at  which  such  sale  is  to  take  place,  the  name  of  the  auc- 
tioneer by  whom  the  same  is  to  be  conducted,  and  a  description  of  the 
articles  to  be  sold. 

The  surplus  money,  if  any,  arising  from  any  such  sale,  after  de- 
ducting the  amount  of  the  loan,  the  interest  then  due  on  the  same,  and 
the  expenses  of  the  advertisement  and  sale,  shall  be  paid  over  by  the- 
pawnbroker  to  the  person  who  would  be  entitled  to  redeem  the  pledge 
in  case  no  such  sale  had  taken  place. 

Any  licensed  pawnbroker  who  shall  violate  or  neglect  or  refuse  ta 
comply  with  any  or  either  of  the  provisions  of  this  act.  except  those 
contained  in  section  one,  shall,  for  every  such  offense,  upon  conviction 
before  a  court  of  competent  jurisdiction,  pay  a  fine  of  not  more  than 
one  hundred  dollars. 

No  pawnbroker  shall  ask,  demand,  or  receive  a  greater  rate  of  in- 
terest than  ten  per  centum  per  month  on  a  loan  of  twenty-live  dollars  or 
less,  or  five  per  centum  per  month  on  a  loan  of  over  twenty-five  dollars 
and  less  than  one  hundied  dollars,  or  three  per  centum  per  month  on 
a  loan  of  one  hundred  dollars  or  more,  secured  by  a  pledge  of  tangible 
personal  property.  And  no  loan  shall  be  divided  for  the  purpose  of  in- 
creasing the  percentage  to  be  paid  the  pawnbroker. 

Police  regulations. — Every  pawnbroker  shall  keep  at  his  place  of  busi- 
ness a  book  or  books,  in  which  shall  be  fairlv  written  in  English,  at  the 
time  of  each  loan  or  transaction  in  the  course  of  his  business  an  accurate 
account  of  such  loan  or  transaction,  setting  forth  a  description  of  the 
goods,  article,  or  thing  pawned,  or  received  on  account  of  monev  loaned 
thereon;  the  time  of  receiving  the  same;  the  name  and  residence  of  the 
person  pawning  or  delivering  the  same;  the  terms  and  conditions  of 
loan,  including  the  peiiod  for  which  any  such  loan  may  be  made,  and 
all  other  facts  and  circumstances  respecting  such  loan,  which  said  book 
or  books  shall  at  all  times  be  subject  to  the  inspection  of  the  officers 
before  mentioned. 

No  property  of  any  kind  received  on  deposit  or  pledge  by  any  pawn- 
broker shall  be  disfigured  or  its  identity  destroyed  or  affected  in  any 
manner  whatsoever,  so  long  as  it  continues  in  pawn  or  in  the  possession 
of  such  pawnbroker,  nor  shall  such  property  be  in  any  manner  concealed 
for  the  space  of  forty-eight  hours  after  the  same  shall  have  been  received 
by  such  pawnbroker. 

It  shall  be  the  duty  of  every  pawnbroker  and  of  every  person  in  the 
employ  of  such  pawnbroker  to  admit  to  his  premises  at  any  time  any 
officer  mentioned  in  this  act  to  examine  anv  pledge  or  pawn,  book  or  other 
record  on  the  premises,  as  well  as  the  articles  pledged,  and.  to  search 


96  Report  of  Committee  on  Tax  Revision. 

for  and  take  into  possession  any  article  known  by  him  to  he  missing,  or 
known  or  believed  by  him  to  have  been  stolen,  without  the  formalitv  of 
the  writ  of  search  warrant  or  any  other  process,  which  search  or  seizure 
is  hereby  authorized. 

The  following  regulation  is  hereby  made  for  storing  or  taking  care 
to  prevent  injury  during  disuse  on  blankets,  clothing,  carpets,  furs, 
rugs,  dress  goods,  cloths,  mirrors,  oil  paintings,  glass  and  china  ware, 
pianos,  organs,  curtains,  beddings  and  upholstered  furniture.  Pawn- 
brokers shall  be  allowed  to  charge  two  per  centum  per  month  in  addition 
to  the  regular  charges  for  the  first  three  months,  or  part  thereof,  while 
such  goods  shall  remain  as  pledge  for  money  advanced. 

Every  pawnbroker  shall  be  liable  to  all  the  penalties  hereinafter  pro- 
vided for  violation  of  any  of  the  provisions  of  this  article,  whether  such 
violations  be  committed  by  himself  or  by  his  agent,  clerk,  or  employee. 

Every  person  who  shall  be  convicted  of  violating  any  of  the  pro- 
visions of  this  section  shall,  for  the  first  offense,  forfeit  and  pay  a 
penalty,  except  in  cases  where  a  different  penalty  is  herein  provided, 
not  exceeding  twenty-five  dollars,  and  for  a  subsequent  offense  shall 
pay  such  penalty  as  the  court  may  impose,  and  shall  in  the  discretion  of 
the  court,  forfeit  his  license. 

Pawnbrokers'  License. 

80.  A  pawnbroker  shall  pay  for  the  privilege  of  transacting  business, 
two  hundred  and  fifty  dollars. 

Regulating  the  business  of  lending  money  on  household  and  kitchen 
furniture,  household  goods,  wearing  apparel,  sewing  machines,  musical 
instruments,  or  wages  and  salaries,  on  conditional  sales  of  the  same,  and 
the  buying  of  salaries  and  wages. 

81. — 1.  That  no  person,  firm,  or  corporation  shall  engage  generally, 
regularly  or  collaterally  to  any  other  business  in  the  business  of  making 
loans  on  household  or  kitchen  furniture,  or  household  goods,  or  wearing 
apparel,  or  sewing  machines,  or  musical  instruments,  or  wages,  or  salar- 
ies, or  on  conditional  sales  of  the  same,  without  first  obtaining  a  license 
therefor,  which  shall  be  in  addition  to  the  license  required  by  law  for 
any  other  business  the  person,  firm,  or  corporation  may  engage  in.  The 
applicant  for  such  license  shall,  before  the  same  is  issued,  file  with  the 
officer  authorized  to  issue  it,  a  statement  on  oath  giving  the  location  where 
such  business  is  to  be  conducted,  the  name  and  business  address  of  the 
applicant,  if  the  licensee  is  an  individual ;  the  name  and  business  address 
of  each  of  the  partners,  if  the  business  is  a  firm ;  and  the  name  and  busi- 
ness address  of  each  of  its  officers,  if  the  licensee  is  a  corporation  and, 
in  case  of  a  corporation,  the  State  under  the  laws  of  which  it  is  organi- 
zed. Said  license,  when  issued,  shall  not  be  transferable.  Should  the 
licensee  change  the  location  of  his  business,  said  license  shall  imme- 
djately  become  void,  unless  said  licensee  shall,  at  least  ten  days  before 
changing  the  location,  file  with  the  officer  authorized  to  issue  said 
license,  a  notice  of  the  proposed  change  of  location,  and  such  officer  shall 
endorse  on  said  license  the  fact  of  said  change.  In  default  of  compliance 
with  these  provisions,  said  license  shall  be  null  and  void.  The  license 


Chapter  III — License  Laws  and  Taxes.          -  97 

shall  at  all  times  be  kept  publicly  exposed  by  the  licensee  on  his  business 
premises.  Any  person,  firm,  or  corporation  violating  the  provisions  of 
this  section  shall  pay  a  fine  of  not  less  than  fifty  dollars  and  riot  more 
than  five  hundred  dollars  for  each  offense. 

2.  N"o  license  shall  be  issued  to  any  person,  firm,  or  corporation  to 
carry  on  business  as  specified  in  section  one  of  this  act,  until  the  appli- 
cant shall  have  filed  with  the  clerk  of  the  circuit  court  of  the  county,  or 
of  the  corporation  court  of  the  corporation,  wherein  said  business  is  to 
be  conducted,  a  bond,  with  surety  to  be  approved  by  said  courts  or  judges 
thereof  in  vacation,  in  the  penalty  of  one  thousand  dollars,  payable  to 
the  Commonwealth  of  Virginia,  and  conditioned  for  the  faithful  per- 
formance by  the  licensee  of  the  duties  and  obligations  peitaining  to  the 
business  so  licensed,  and  the  prompt  payment  of  any  judgment  which 
may  be  recovered  against  said  licensee  on  account  of  damages  or  other 
claims  arising  directly  or  collaterally  from  any  loan  of  money  or  sale 
of  wages  or  salary. 

3.  Should  any  surety  on  such  bond  become  insolvent,  the  said  judge 
shall  immediately  require  the  licensee  to  file  an  additional  bond  with 
good  security,  and  on  failure  t^  file  snch  additional   bond  within  ten 
days  after  being  so  required  to  file  the  same,  said  license  shall  stand 
ipso  facto  revoked. 

4.  If  it  be  agreed  in  writing  by  the  borrower  and  the  lender  at  the 
time  the   loan  is  made,  the   lender  may  charge  for   investigating  the 
secuiity  or  title  and  closing  the  loan,  a  fee  of  not  more  than  fifty  cents 
where  the  amount  borrowed  is  fiye  dollars  or  less;  not  more  than  seventy- 
five  cents  where  the  amount  is  more  than  five  dollars,  and  not  more  than 
ten  dollars;  and  not  more  than  one  dollar  where  the  amount  borrowed 
is  rnoie  than  ten  dollars,  and  not  more  than  twenty  dollars;  and  no.t 
more  than  one  dollar  and  fifty  cents  where  the  amount  borrowed  is  more 
than  twenty  dollars  arid  not  more  than  thirty-five  dollars,  and  not  more 
than  two  dollars  where  the  amount  borrowed  is  more  than  thirty- five 
dollais,  which  said  fee  may  be  chaiged,  if  so  agreed,  upon  each  original 
loan,  or  any  renewal  thereof;  provided,  however,  that  no  fee  whatever 
shall  be  allowed  on  any  renewal  or  extension,  which  occurs  within  sixty 
days  from  the  time  of  making  the  loan  or  from  the  time  of  the  last 
renewal ;  and,  provided,  further,  that  the  fee  provided  for  in  this  section 
shall  not  be  charged  on  any  renewal  made  after  the  expiration  of  four 
months  from  the  date  of  the  original  loan,  but  that  all  renewals  made 
after  said  four  months,  shall  be  at  fees  not  greater  than  one-half  of  the 
amounts  herein  provided;  and,  provided,  further,  that  any  loan  which 
shall  be  made  between  said  paities  within  ten  days  after  the  payment 
of  a  pre-existing  loan  of  approximately  the  same  amount,  shall  in  all 
cases  be  construed  prima  facie  to  be  a  renewal  of  said  pre-existing  loan. 
Xo  original  loan  shall  be  split  up  into  smaller  loans  in  order  to  increase 
the  fees  allowed ;  but  if  two  or  more  loans  be  made  at  or  about  the  same 
time  between  the  same  parties,  they  shall  be  construed  to  be  but  one 
original  loan,  unless  the  contrary  plainly  and  unequivocally  appears. 

5.  Any  interest  charged  by  the  lender  to  the  borrower  in  excess  of 
the  present  legal  rate  of  interest,  or  anv  fee,  fine  or  charge  whatsoever 
charged  by  the  lender  against  the  borrower,  whether  for  negotiating  a 


98  Report  of  Committee  on  Tax  Revision. 

loan  or  for  commissions,  examinations,  attorney's  fee,  or  other  bonus, 
or  additional  charge  whatsoever  to  those  allowed  in  section  four  of  this 
act,  shall  be  considered  as  a  payment  on  the  principal  of  said  loan,  and 
the  same  shall  be  credited  with  the  amount  of  said  additional  charge 
or  excess,  and  the  license  of  the  person,  firm,  or  corpoiation  making 
such  additional  or  excessive  charge  may,  in  the  discretion  of  the  circuit 
court  of  the  county  or  the  corporation  court  of  the  corporation  wherein 
such  business  was  licensed,  be  revoked. 

6.  It  shall  be  unlawful  for  any  licensee  under  this  act  to  charge  any 
sum  of  money  for  fire  insurance  on  any  article  or  personal  property 
pledged  as  security  for  any  loan  or  any  fee  for  recording  any  papers 
connected  with  any  loan  or  sale,  under  the  terms  of  this  act  except 
such  as  are  actually  paid  by  such  licensee. 

7.  If  any  person,  firm,  or  corporation  shall  engage  generally,  regu- 
larly, or  collaterally  to  some  other  business,  in  the  business  of  making 
loans  or  purchasing  wages  or  salaries    as  prescribed  in  section  one  of 
this  act,  without  first  obtaining  a  license  for  carrying  on  such  business 
in  the  city,  town  or  county,  in  which  said  business  is  transacted,  or  shall 
continue  to  conduct  said  business  after  the  forfeiture  or  cancellation  of 
the  license  under  which  the  same  is  conducted,  then  no  suit  or  action 
shall  be  maintained  for  the  enforcement  of  any  such  loan,  or  of  any 
security  given  for  such  loan,  or  any  assignment  of  wages  or  salary. 

8.  Every  individual,  firm,  or  corpoiation  desiring  the  privilege  of 
conducting  business  under  the  provisions  of  this  act  shall  pay  therefor 
a  license  tax  of  one  hundred  dollars. 

9.  This  act  shall  not  apply  to  any  loan  in  excess  of  one  hundred  and 
fifty  dollars  actually  and  bona  fide  made  at  one  time,  and  shall  not 
prevent  any  merchant  or  other  person  who  sells  provisions,  wealing  ap- 
parel,  household  goods   or  furniture   to   wage-eainers   from   taking   as 
security  therefor  an  order  for  or  assignment  of  wages;  provided,  how- 
ever, that  no  interest,  bonus,  or  lebate  is  charged  or  taken  directly  or 
indirectly,  upon  the  sale  or  amount  of  debt  contracted  or  from  the 
amount  of  wages,  and  that  the  pioperty  is  sold  at  no  higher  pi  ice  than 
like  property  is  sold  on  credit  to  other  person  than  such  wage-earners. 

License  on  a  Building  and  Loan  Association  or  Company. 

82.  No  building  and  loan  association  or  company,  incorporated  under 
the  laws  of  this  or  any  other  state,  shall,  without  a  license,  conduct  any 
business,  or  solicit  the  sale  of  stock,  or  offer  to  lend  money  in  this  State, 
nor  shall  any  peison  act  as  agent  of  any  such  association  or  company 
unless  the  association  or  company  he  represents  has  a  license. 

The  specific  license  tax  upon  every  building  and  loan  association  or 
company  for  the  piivilege  of  uoing  business  in  this  State  shall  be  seventy- 
five  dollars;  piovided,  the  capital  of  such  association  or  company  actually 
paid  in,  whether  from  paid  up  stock  or  partially  paid  stock,  is  not  over 
twenty-five  thousand  dollars;  if  the  capital  paid  in,  whether  from  paid 
up  stock  or  partially  paid  up  stock,  is  over  twenty-five  thousand  dollars, 
then  an  additional  license  tax  of  three  dollars  on  each  one  thousand  dol- 
lars of  such  capital,  or  fraction  thereof,  on  such  excess  shall  be  paid  by  all 


Chapter  III — License  Laws  and  Taxes.  99 

such  building  and  loan  associations  or  companies;  provided,  that  a  non- 
resident building  and  loan  association  or  company  doing  business  in 
this  State,  which  has  otherwise  complied  with  the  laws  of  Virginia,  shall 
pay  the  license  tax  herein  imposed.,  based  upon  its  capital  invested  in 
this  State. 

A  building  and  loan  association,  or  company,  which  does  business 
on  a  purely  mutual  plan,  and  confines  its  business  solely  to  the  city  or 
county  where  it  is  organized,  shall  pay  a  license  tax  of  fifty  dollars. 

It  shall  be  the  duty  of  each  association  or  company  on  the  first  day 
of  .April  of  each  vear  or  within  ten  days  thereafter,  to  make  a  report 
in  writing  of  its  capital  paid  in,  if  the  assocation  or  company  be  in- 
corporated under  the  laws  of  this  State,  or  of  its  capital  invested  in  this 
State,  if  it  be  a  non-resident  association  or  company,  under  oath  of. its 
chief  officer  or  agent,  to  the  commissioner  of  the  revenue  for  the  district 
in  which  its  principal  office  or  agency  in  this  State  is  situated. 

Any  building  and  loan  association  or  company,  or  the  agents  of  any 
such  association  or  company,  which  does  business  in  this  State,  without 
paying  the  license  tax  herein  imposed;  shall  pay  a  fine  of  not  less  than 
fifty  dollars  nor  more  than  five  hundred  dollars. 

The  shares  of  stock  issued  by  anv  building  and  loan  association  or 
company,  which  has  paid  the  license  tax  herein  imposed  shall  not  be 
taxable  in  the  hands  of  the  holder,  nor  shall  any  additional  State  tax 
be  imposed  on  the  paid  in  capital  of  such  association  or  company. 

No  city  or  town  shall  levy  a  greater  license  tax  on  the  paid  in  capital 
of  any  such  association  or  company  than  that  imposed  herein  for  State 
purposes,  and  such  city  or  town  license  tax  shall  be  levied  only  where 
the  principal  office  of  such  association  or  company  is  located  in  this  State. 

Insurance  Brokers. 

83.  No  person  shall,  without  a  license  act  as  an  insurance  broker. 
Every  person  who  shall  solicit  for  compensation,  directly  or  indirectly, 
to  be  deiived  therefrom  any  fire,  marine,  life  or  other  insurance,  either 
on  account  of  any  person  desirinp-  to  effect  anv  such  insurance,  or  on 
account  of  any  insurance  company,  except  the  duly  authorized  a^ent 
(or  a  clerk  actually  employed  in  his  office)  of  any  insurance  company 
licensed  to  do  business  in  this  State,  shall  be  deemed  an  insurance  broker. 
Any  insurance  agent  (or  clerk  actually  employed  in  his  office)  who 
shall  solicit,  directly  or  indirectly,  any  fire,  marine,  life  or  other  insur- 
ance, either  on  account  of  any  person  desiring  to  effect  any  such  insur- 
ance, or  on  account  of  any  insurance  company  licensed  to  do  business 
in  this  State,  other  than  for  the  insurance  company  or  companies  for 
which  he  is  the  duly  authorized  agent,  shall  be  deemed  an  insurance 
broker.  Any  person  acting  as  insurance  broker  without  a  license  shall 
pay  a  fine  of  not  less  than  fifty  dollais  nor  more  than  five  hundred  dollars 
for  each  offense.  And  any  peison  or  firm  who  shall  fill  up,  sign  or  deliver 
a  policy  or  ceitificate  of  insurance  for  a  corporation,  or  person,  or  asso- 
ciation, or  persons  not  licensed  to  do  an  insurance  business  in  this  State 
by  a  legally  authorized  agent,  shall  be  considered  an  agent  of  such  cor- 
poration, or  person,  or  association,  and  such  person,  corporation  or  asso- 


100  Report  of  Committee  on  Tax  Revision. 

ci.'ition  shall  be  liable  for  all  licenses,  taxes,  and  penalties  as  if  repre- 
sented by  a  legally  appointed  agent.  No  person  licensed  as  an  insurance 
broker  shall  be  authorized  under  his  license  to  place  any  insurance  in  a 
company  or  association,  or  with  a  person  or  firm  not  licensed  to  do  an 
insurance  business  in  this  State. 

Licenses — Insurance  Brokers. 

;   -v^wng; 

84.  An  insurance  broker  shall  pay  the  sum  of  one  hundred  dollars 
for  the  privilege  of  transacting  such   business.     The   license  shall   be 
issued  by  the  commissioner  of  insurance,  and  the  tax  shall  be  paid  to 
him,  and  he  shall  pay  the  same  into  the  treasury. 

Mercantile  Agencies. 

85.  Any  person,  firm  or  corporation  engaged  in  reporting  the  financial 
standing  of  merchants  and  others  as  a  regular  business  for  compensation 
shall  be  deemed  a  mercantile  agencv.    Anv  person  engaged  in  such  busi- 
ness without  a  State  license  to  transact  such  business  shall  pay  a  fine 
of  not  less  than  five  hundred  dollais,  and  not  moie  than  one  hundred 
dollars;  piovided  that  this  section  shall  not  apply  to  employees  of  mer- 
cantile agencies  who  only  repoit  to  such  agencies,  nor  to  regularly  licen- 
sed attorneys  at  law. 

Licenses  to  Mercantile  Agencies. 

86.  A  mercantile  agency  shall  pay  for  the  privilege  of  transacting 
such  business  the  sum  of  two  hundred  and  fifty  dollais.     Tins  section 
shall  be  construed  to  levy  only  one  State  license  tax  upon  each  such  mer- 
cantile agency,  which  license  tax  of  two  hundred  and  fifty  dollars  shall 
be  paid  annually  direct  to  the  auditor  of  public  accounts. 

Undertakers. 

87.  Any  person,  firm,   or  corporation   engaged   in   the   business   of 
bujying  the  dead  shall  be  deemed  an  undertaker.     Any  person,  firm,  or 
corporation  engaged  in  such  business  without  a  license  shall  pay  a  fine 
oi  not  less  than  ten  dollars  nor  more  than  twenty-five  dollars. 

.* 

Undertakers'  License. 

88.  An  undertaker  shall  pay  for  transacting  such   business  in  the 
country  and  in  towns  of  one  thousand  inhabitants  or  less,  rive  dollars; 
and  in  towns  and  cities  of  over  one  thousand  and  not  over  three  thousand 
inhabitants,  ten  dollars;  and  in  towns  and  cities  of  over  three  thousand 
and  not  over  five  thousand  inhabitants,  fifteen  dollars;  and  in  towns 
and  cities  of  over  five  thousand  and  not  over  ten  thousand  inhabitants, 
twenty-live  dollars;  and  in  cities  of  o\er  ten  thousand  inhabitants  and 
not  over  thirty  thousand  inhabitants,  thiiiy-five  dollars;  and  in  cities 
of  over  thirty  thousand  inhabitants,  fifty  dollars. 


Chapter  III — License  Laws  and  Taxes.  101 

Civil  and  Electrical  Engineers. 

89.  Any  person  or  firm  who  shall  for  cow  pen  sat inn  engage  in  the 
business  of  civil,  mining,  mechanical  or  electrical  engineering  shall  pay 
a  license  tax  of  fifteen  dollars  per  year  for  the  privilege  of  conducting  such 
business;  the  said  license  to  be  procured  from  fJie  commissioner  of  the 
revenue  of  the  city  or  district  in  which  said  engineer  shall  have  his  office 
on  the  first  day  of  May  in  each  year;  provided,  fliat  the  license  of  any 
engineer  who  has  not  practised  his  nrofession  for  more  than  five  years,  or 
whose  income  from  such  business  is  less  than  five  hundred  dollars  for  the 
preceding  year  shall  be  five  dollars;  and,  provided,  further,  that  on  the 
payment  of  the  license  as  herein  provided  the  said  engineer  shall  be  en- 
titled to  engage  in  such  business  in  any  part  of  tins  Xtate.    Any  person  or 
firm  violating  the  provisions  of  this  section  shall  be  fined  not  less  than 
ten  dollars,  nor  more  than  thirty  dollars,  for  each  offense. 

Contractors. 

90.  Any  person,  firm,  or  corporation  accepting  orders  or,  contracts 
for  doing  any  work  on  or  in  any  building  or  structure,  requiring  the 
use  of  paint,  stone,  brick,  mortar,  wood,  cement,  structural  iron  or  steel, 
sheet-iron,  galvanized  iron,  metallic  piping:,   tin,   lead,  electric   wiring 
or  other  metal,  or  any  other  building  material :  or  who  shall   accept 
contracts  to  do  any  paving  or  curbing:  on  sidewalks  or  streets,  public 
or  private  property,  usiner  asphalt,  brick,  stone!  cement,  wood  or  any 
composition,  or  who  shall  accept  an  order  for  or  contract  to  excavate 
earth,  rock,  or  other  material  for  foundations  or  any  other  purpose,  or 
who  shall  accept  an  order  or  contract  to  construct  any  sewer  of  stone, 
bi  ick,  terra  cotta,  or  other  material,  shall  be  deemed  a  contractor.    Every 
contractor  shall,  on  the  first  day  of  Mav  in  each  year,  procure  from  the 
commissioner  of  the  revenue  for  the  city  or  district  in  which  he  has  his 
office  a  license  to  carry  on  the  business  of  a  contractor;  provided    that 
if  such  contractor  has  no  office  in  this  State,  then  he  shall  procure  such 
license  from  the  commissioner  of  the  revenue  for  the  city,  county,  or 
district  where  he  conducts  his  business.     Any  person,  firm,  or  corpora- 
tion doing  such  business  without  a  license  shall  pay  a  fine  of  not  less 
than  thirty  dollars,  nor  more  than  one  hundred  dollars  for  each  offense; 
provided,  that  no  further  license  shall  be  required  by  the  State  for  con- 
ducting said  business  in  any  part  thereof;  and,  provided,  fuither,  that 
this  section  shall  not  apply  to  contractors  the  gioss  amount  of  whose 
orders  accepted  and  executed  does  not  exceed  five  thousand  dollars  per 
annum. 

Licenses  to  Contractors. 

91.  Every  such  contractor,  for. the  privilege  of  transacting  business 
in  this  State,  shall  pav  a  license,  to  be  ascertained  in  the  following 
manner : 

If  the  gross  amount  of  all  orders  or  contracts  accepted  aggregate 
five  thousand  dollars,  he  shall  pay  the  sum  of  five  dollars;  if  the  amount 


102  Report  of  Committee  on  Tax  Revision. 

of  such  orders  or  contracts  are  more  than  five  thousand  dollars,  and  do 
not  exceed  ten  thousand  dollars,  ten  dollars;  if  the  amount  of  such  orders 
or  contracts  exceed  ten  thousand  dollars,  and  do  not  exceed  twenty 
thousand  dollars,  fifteen  dollars;  if  the  amount  of  such  orders  or  con- 
tracts exceed  twenty  thousand  dollars,  and  do  not  exceed  fifty  thousand 
dollars,  twenty  dollars;  if  the  amount  of  such  orders  or  con ti acts  exceed 
fifty  thousand  dollars,  and  do  not  exceed  one  hundred  thousand  dollars, 
fifty  dollars;  if  the  amount  of  such  orders  or  contracts  exceed  one  hun- 
dred thousand  dollars,  and  do  not  exceed  one  hundred  and  fifty  thousand 
dollars,  one  hundred  dollars;  and  if  the  amount  of  such  orders  or  con- 
tracts exceed  one  hundred  and  fifty  thousand  dollars,  one  hundred  and 
fifty  dollars;  and  when  any  such  contarctor  shall  have  obtained  a  license 
for  any  year  for  which  he  has  paid  a  license  tax  of  less  than  the  maxi- 
mum above  prescribed,  he  shall  not  accept  any  contract  or  contracts  dur- 
ing such  year  the  aggregate  amount  of  which  exceeds  the  maximum 
amount  for  which  his  license  was  obtained,  unless  and  until  he  shall 
have  paid  such  additional  sum  as  will  make  the  total  license  tax  paid  by 
him  for  that  year  sufficient  to  cover  the  aggregate  amount  of  such  con- 
tract or  contracts  as  prescribed  above ;  and  unless  he  pay  such  additional 
sum  he  shall  be  deemed  to  be  acting  without  a  license. 

Architects. 

92.  Any  person  or  firm  who  shall,  for  compensation,  draw  or  furnish 
plans  for  the  construction  of  anv  building  or  other  structure,  shall  be 
deemed  an  architect,  and  shall  pay  a  license  tax  of  twenty-five  dollars  a 
year  for  the  privilege  of  conducting  such  business;  the  said  license  to  be 
procured  from  the  commissioner  of  the  revenue  of  the  city  or  district  in 
which  said  architect  has  his  or  their  office,  on  the  first  day  of  May  of  each 
year;  provided,  that  the  tax  upon  an  architect  or  architects  whose  in- 
come from  such  business  has  been  less  than  five  hundred  dollars  for  the 
preceding  year,  shall  be  ten  dollars;  and,  provided,  further,  that  no 
further  license  shall  be  required  by  the  State  for  doing  business  in  any 
part  thereof.  Any  person  or  firm  violating  the  provisions  of  this  section 
shall  be  fined  not  less  than  ten  dollars  nor  more  than  thirty  dollars  for 
each  offense. 

License  to  Keep  a  Hotel. 

92l/2.  That  any  person  who  keeps  a  public  inn  or  lodging  house  of 
more  than  thirty  bed  rooms  where  transient  guests  are  fed  or  lodged  for 
pay  in  this  State,  shall  be  deemed  for  the  purposes  of  this  act  to  be 
engaged  in  the  business  of  keeping  a  hotel. 

A  transient  guest  is  one  who  puts  up  for  less  than  one  week  at  such 
hotel,  but  such  a  house  is  no  less  a  hotel  because  some  of  its  guests  put 
up  for  longer  periods  than  one  week. 

Any  person  conducting  the  business  of  keeping  a  hotel  as  defined  in 
this  act  shall  pay  an  annual  license  tax  of  one  dollar  for  each  bed  room, 
and  fifty  cents  for  each  bath  room,  in  said  hotel. 


Chapter,  III — License  Laws  and  Taxes.  103 


Houses  of  Private  Entertainment,  Etc. 

93.  No  person  shall,  without  a  license  authorized  by  law,  keep  a  house 
of  private  entertainment,  or  eating  house. 

What  Constitutes  a  House  of  Private  Entertainment. 

94.  Any  person  who   shall   furnish,   for   compensation,   lodging  or 
diet  to  travelers,  or  sojourners  in  any  house  of  thirty  rooms  or  less,  shall 
le  deemed  to  keep  a  house  of  private  entertainment.     A  license  to  keep 
a  house  of  private  entertainment  shall  not  be  construed   to  authorize 
the  sale  of  wine,  spirituous  or  malt  liquors,  or  a  mixture  of  them  on  the 
premises  or  within  the  curtilage  of  such  private  entertainment,  nor  shall 
any  license  be  granted  to  sell  by  retail  or  to  be  drunk,  where  sold,  any 
wine,  spirituous  or  malt  liquors  upon  the  premises  or  within  the  curti- 
lage of  any  licensed  private  entertainment.     Any  person  who  shall  keep 
a  house  of  private  entertainment  without  a  license  shall  pay  a  fine  of 
not  less  than  thirty  dollars  nor  more  than  one  hundied  dollars  for  each 
day  he  may  keep  the  same. 

License  to  Keep  a  House  of  Private  Entertainment. 

95.  Every  person  who  keeps  a  house  of  private  entertainment  shall 
pay  five  dollars  and  an  additional  sum  equal  to  five  per  centum  of  the  ac- 
tual rent  or  rental  value  of  the  house  and  furniture.    The  commissioner  of 
the  revenue  shall  determine  such  rent  or  rental  value    and  may  require 
the  proprietor  or  tenant  to  state  on  oath  what  is  the  actual  rent,  or  what 
would  be  a  fair  rent  for  the  house  and  furniture,  and  if  he  refuse  to 
state  the  same,  he  shall  pay  a  fine  of  five  hundred  dollars. 

What  Constitutes  an  Eating  House. 

96.  Any  person  who  shall  cook,  or  otherwise  furnish   for  compensa- 
tion, diet  or  refreshments  of  any  kind,  for  casual  \isitors  at  his  house, 
for  consumption  therein,  and  who  does  not  furnish  lodging,  and  who  is 
not  the  keeper  of  an  hotel,  house  of  private  entertainment,  or  boarding 
house    shall  be  deemed  to  keep  an  eating  house,  but  the  refreshments 
herein  named  shall  not  consist  of  wines,  spirituous  or  malt  liquors,  or  a 
mixture  of  any  of  them.     Any  person  who  shall  keep  an  eating  house 
without  a  license  shall  pay  a  fine  of  not  less  than  tniity  dollars,  nor 
more  than  one  hundred  dollars,  for  each  day  he  may  keep  the  same 

License  to  Keep  an  Eating  House. 

97.  Every  person  who  shall  keep  an  eating  house  shall  pay  for  the 
privilege  twenty-five  dollars,  and  where  the  annual  rent  or  rental  value 
of  the  house  and  furniture  is  nioie  than  one  hundred  dollais,  and  not 
more  than  one  thousand  dollars,  he  shall  pay  an  additional  sum  equal  to 
five  per  centum  of  such  rent  or  rental  value;  and  where  such  annual  rent 


104  Report  of  Committee  on  Tax  Revision. 

or  rental  value  exceeds  one  thousand  dollars,  he  shall  pay  an  additional 
sum  equal  to  four  per  centum  of  such  rent  or  rental  value.  The  com- 
missioner of  the  revenue  shall  detemiine  such  rent  or  rental  value,  and 
may  require  the  proprietor  or  tenant  to  state  on  oath  what  is  the  actual 
rent  or  what  would  be  a  fair  rent  for  the  house  and  furniture,  and  if  he 
refuse?  to  sfate  the  same,  he  shall  pay  a  fine  of  five  hundred  dollars. 

97V2.  To  exempt  persons  conducting  temporary  eating  or  lodging- 
houses,  horse-lots,  and  confectioneries  at  religious  gatherings  from  lic- 
ense tax. 

That  the  license  tax  shall  not  be  required  of  persons  conducting 
temporary  eating  or  lodging-houses,  horse-lots,  and  confectioneries  at 
camp-meetings,  associations,  and  other  religious  gatherings;  provided, 
such  eating  or  lodging  houses,  horse-lots,  and  confectioneries  shall  be 
only  carried  on  for  the  purpose  of  entertaining  the  persons  attending 
such  religious  gatherings. 

What  Constitutes  a  Bowling  Saloon. 

98.  Any  person  who  shall  keep  a  saloon  for  the  reception  of  company 
to  play  at  bowls  shall  be  deemed  to  keep  a  bowling  saloon.     Any  person 
who  shall  keep  a  bowling  saloon  without  a  license  shall  pay  a  fine  of 
not  less  than  dfty  dolJais  nor  moie  than  one  hundred  and  fifty  dollars 
for  each  day  he  may  keep  the  same. 

License  to  Keep  a  Bowling  Saloon. 

99.  Every  person  who  shall  keep  a  bowling  saloon  shall  pay  for  the 
privilege  the  sum  of  twenty-five  dollais,  and  an  additional  sum  of  ten 
dollars  for  each  alley  exceeding  one.     If  the  license  be  for  a  bowling 
saloon  at  a  watering  place  and  if  for  four  months  or  less,  the  sum  to  be 
paid  shall  be  twelve  dollars  and  fifty  cents  and  an  additional  sum  of 
five  dollars  for  each  alley  exceeding  one. 

What  Constitutes  a  Billiard  Room. 

100.  Any  person  who  shall  keep  a  saloon  wherein  there  is  a  table  at 
which  billiards  or  pool  aie  played  shall   be  deemed  to  keep  a  billiard 
saloon,  and  if  any  sum  is  imposed  upon  the  tables  kept  therein  the  same 
shau  be  on  every  table  in  excess  of  one  capable  of  being  used  for  the 
pin  pose,  and  kept  theiein,  whether  used  or  not.     Any  peison  who  shall 
keep  a  billiard  saloon  without  a  license  shall  pay  a  fine  of  not  less  than 
fifty  dollars  nor  more  than  one  hundred  dollars  for  each  day  he  may 
continue  to  keep  the  same. 

License  to  Billiard  Saloons  and  Pool  Rooms. 

101.  Every  person  who  shall  keep  a  billiard  saloon  or  pool  room  shall 
pay  for  the  piiviiege  the  sum  of  fifty  dollars,  and  the  sum  of  twenty-five 
dollars  for  each  table  over  one  kept;  or  to  be  kept  therein.    If  the  license 
be  for  a  billiard  saloon  or  pool  loom  at  a  watering  place,  and  is  for  four 


Chapter  III — License  Laws  and  Taxes.  105 

months  or  less,  the  sum  to  be  paid  shall  be  twenty-five  dollars,  and  the 
sum  of  twelve  dollars  and  fifty  cents  for  each  table  over  one  kept,  or  to 
be  kept,  thereat.  If  the  license  be  for  a  billiard  saloon  or  pool  room  in 
the  country  or  in  a  town  of  less  than  one  thousand  inhabitants,  the  sum 
to  be  paid  shall  be  twenty-five  dollars  and  twelve  dollars  and  fifty  cents 
for  each  table  over  one  kept,  or  to  be  kept,  therein. 

What  Constitutes  a  Bagatelle  Saloon. 

102.  Any   person  who   shall   keep   a   saloon   or   other   public   room 
wherein  is  a  table  at  which  to  plav  at  bagatelle,  whether  charge  for  the 
use  thereof  is  made  or  not,  shall  be  deemed  to  keep  a  bagatelle  saloon. 
Any  person  who  shall  keep  a  bagatelle  saloon  without  a  license  shall 
pay  a   fine  of  not  less  than  fifty  dollars  nor  more  than  one  hundred 
dollars  for  each  day  he  may  continue  to  keep  the  same. 

License  to  a  Bagatelle  Saloon. 

103.  Every  person  who  shall  keep  a  bagatelle  saloon  shall  pay  for 
the  privilege  the  sum  of  ten  dollars,  and  an  additional  sum  of  five  dollars 
for  each  table  over  one  kept,  or  to  be  kept,  therein. 

Property  Used  in  Licensed  Business  Taxable. 

104.  Nothing  herein  shall  be  construed  to  exempt  the  furniture  in 
houses  mentioned  in  this  schedule  from  being  taxed  as  property. 

Theatres,  Public  Performances,  Exhibitions,  Etc. 

105.  Xo  person  shall,  without  a  license  authorized  by  law,  exhibit 
for  compensation  any  theatrical  performance,  or  any  performance  simi- 
lar thereto,  panorama,  or  anv  public  performance  or  exhibition  of  any 
kind,  lectures,  literary  readings,  and  performances,  except  for  benevolent 
or  charitable  or  educational  purposes.     Whenever  a  theatrical  perform- 
ance shall  be  licensed,  the  actors  acting  thereat  under  said  license  shall 
be  exempt  from  a  license  tax;  but  unless  the  performance  shall  be  so 
licensed,  each  person  engaged  therein  shall  be  liable  to  the  penalty  for 
the  violation  of  this  section.     Every  license  shall  be  for  each  perform- 
ance, but  a  license  for  a  theatrical  performance  or  panorama  may,  if 
the  person  applying  for  the  same  desire  it,  be  for  the  term  of  one  week. 
For  any  violation  of  this  section  every  person  so  offending  shall  pay 
a  fine  of  not  less  than  fifty  dollars  nor  more  than  five  hundred  dollars 
for  each  offense. 

Licenses  to  Theatres,  Public  Performances,  Exhibitions,  Etc. 

106.  On  every  theatrical  performance,  or  any  performance  similar 
thereto,  panorama,  or  any  public  performance  or  exhibition  of  any  kind, 
except  for  benevolent  or  charitable  or  educational  purposes,  there  shall 
be  paid  three  dollars  for  each  performance,  or  ten  dollars  for  each  week 


106  Report  of  Committee  on  Tax  Revision. 

of  such  performance ;  provided,  that  in  towns  of  less  than  four  thousand 
inhabitants  there  shall  be  paid  one  dollar  and  fifty  cents  for  each  per- 
formance, or  five  dollars  for  each  week  of  such  performance,  but  nothing 
herein  shall  be  construed  as  taxing  games  of  football  or  baseball. 

10GV2.  That  for  the  exhibition  of  any  automatic  moving  picture 
machine,  phonograph,  graphophone  or  similar  musical  machine,  except 
for  benevolent,  charitable  or  educational  purposes,  where  the  price  of 
admission  to  such  exhibition  does  not  exceed  the  sum  of  ten  cents,  and 
where  the  seating  capacity  of  any  such  place  of  amusement  does  not 
exceed  three  hundred  and  fifty,  there  shall  be  paid  a  license  fee  of  three 
dollars  for  each  week,  or  less  time  than  a  week;  or  sixty  dollars  for  the 
exhibition  thereof  for  a  period  of  one  year;  and  when  the  seating  capacity 
of  any  such  place  of  amusement  exceeds  three  hundred  and  fifty,  there 
shall  be  paid  an  additional  tax  of  fifteen  dollars  for  every  one  hundred 
seats,  or  fraction  of  one  hundred  seats,  in  excess  of  three  hundred  and 
fifty;  provided,  further,  that  in  towns  of  less  than  twenty  thousand  in- 
habitants the  license  tax  for  said  additional  seating  capacity  shall  be 
seven  dollars  and  fifty  cents  for  every  one  hundred  seats,  or  fraction  of 
one  hundred  seats,  in  excess  of  three  hundred  and  fifty,  the  license  for 
one  }rear  to  be  paid  quarterly,  and  a  license  for  a  period  exceeding  one 
week  to  be  based  upon  the  per  annum  license  fee ;  provided,  however,  that 
when  such  exhibition  is  given  for  benevolent,  charitable  or  educational  pur- 
poses, and  is  given  for  a  period  of  more  than  one  day  in  any  one  year,  and 
the  exhibitor  thereof  receives  a  part  of  the  receipts  from  such  exhibition 
as  his  compensation,  then  such  exhibition  after  the  first  dai/  shall  not 
be  exempt  from  the  payment  of  the  license  fee  herein  prescribed;  pro- 
vided, further,  that  when  singing,  dancing  or  anv  vaudeville  act  accom- 
pany the  exhibition  licensed  under  this  section,  an  additional  license 
therefor  shall  not  be  required  so  long  as  the  price  of  admission  for  the 
whole  exhibition  does  not  exceed  the  sum  of  twenty  cents. 

Circus,  Menagerie,  Carnival  Shows,  Etc. 

107.  Every  person,  firm,  company  or  corporation  who  exhibits  or 
gives  performances  in  a  side  show,  dog  and  pony   (or  either)    show, 
trained  animal   show,   carnival,  circus,  menagerie   and  circus,   or  any 
other  show,  exhibition  or  performance  similar  thereto  shall  procure  a 
license  therefor,  but  this  section  shall  not  be  construed  to  prohibit  a 
resident  mechanic  or  artist  from  exhibiting  anv  production  of  his  own 
art  or  invention  without  compensation,  nor  shall  any  license  be  required 
of  any  agricultural  fair  or  the  shows  exhibited  within  the  grounds  of 
such  fair  or  fairs,  during  the  period  of  such  fair,  whether  an  admission 
be  charged  or  not,  nor  of  resident  persons  giving  or  performing  in  a  show 
or  exhibition  for  charity  or  other  benevolent  purposes.     Whenever  such 
show,  exhibition  or  performance  is  given,  whether  exempted  by  the  terms 
hereof  or  licensed,  those  engaged  therein  and  operating  under  either  such 
license  or  exemption,  shall  be  exempt  from  a  license  tax  for  performing 
or  acting  thereat. 

108.  Every  show,  exhibition  or  performance,  such  as  is  described  in 
the  next  preceding  section,  whether  under  the  same  canvas  or  not,  unless 


Chapter  III — License  Laws  and  Taxes.  107 

exempt  by  the  terms  hereof,  shall  he  construed  to  require  a  separate 
license  therefor,  whether  exhibited  for  compensation  or  not. 

Every  person,  firm,  company  or  corporation  who  exhibits  or  gives  a 
performance  of  any  of  the  shows  described  in  the  next  preceding  section 
which  are  not  exempt  from  license  tax  by  the  terms  hereof,  without  the 
license  required  by  law,  shall  be  fined  not  less  than  fifty  dollars  nor  more 
than  five  hundred  dollars  for  each  offense.  The  police  authorities  of  a 
town,  city  or  county  shall  not  allow  any  such  performance  to  open  until 
the  license  required  by  law  is  exhibited  to  them. 

109.  In  the  country  or  in  towns  of  one  thousand  inhabitants,  or  less, 
unless  the  same  be  exempt  from  license  tax  by  the  terms  of  section  one 
hundred  and  seven  hereof,  there  shall  be  paid  for  each  day's  performance 
or  exhibition  of  a  side  (or  like)  show,  a  license  tax  of  five  dollars;  and 
on  a  dog  and  pony  (or  either,  or  like)  show,  a  license  tax  of  ten  dollars; 
on  a  trained  animal  (or  like)  show,  a  license  tax  of  ten  dollars;  on  a 
carnival  (or  oilier  like  show),  a  license  tax  of  one  hundred  dollars;  on  a 
circus,  or  for  a  circus  and  menagerie,  a  license  tax  of  one  hundred  and 
fifty  dollars. 

In  a  town  or  city,  or  within  five  miles  thereof,  of  more  than  one 
thousand  and  not  over  ten  thousand  inhabitants,  unless  the  same  be 
exempt  from  taxation  by  the  terms  of  section  one  hundred  and  seven 
hereof,  there  shall  be  paid  for  each  day's  performance  or  exhibition  of  a 
side  (or  like)  show,  a  license  tax  of  ten  dollars;  of  a  dog  and  pony  (or 
cither)  (or  like)  show  a  license  tax  of  twenty  dollars;  on  a  trained  ani- 
mal (or  like)  show  a  license  tax  of  twenty  dollars;  on  a  carnival  (or 
other  like  show)  a  license  tax  of  one  hundred  dollars;  on  a  circus  and 
menageiie  (or  like)  show,  a  license  tax  of  two  hundred  dollars. 

In  a  city,  or  within  five  miles  thereof,  of  more  than  ten  thousand  in- 
habitants, unless  the  same  ~be  exempt  from  taxation  by  the  terms  of  sec- 
tion one  hundred  and  seven  hereof,  there  shall  be  paid  for  each  day's  ex- 
hibition or  performance  of  a  side  (or  like)  shoiv  a  license  tax  of  fifteen 
dollars;  on  a  carnival  (or  other  like  show)  a  license  tax  of  one  hundred 
and  fifty  dollars;  on  a  dog  and  pony  (or  either)  (or  like]  show,  on  <i 
trained  animal  (or  like)  show,  or  a  wild  west  (or  like)  s!io-v,  or  a  wild 
west  (or  like)  shoiv,  on  a  circus  or  circus  and  menagerie  (or  like)  show 
for  each  day  or  part  of  a  day,  a  license  tax  as  follows: 

On  shows  requiring  transportation  of  — 

One  to  ten  cars Twenty-five  dollars 

Eleven  to  twenty  cars Fifty  dollars 

Twenty-one  to  thirty  cars One  hundred  dollars 

Thirty-one  to  forty  cars Two  hundred  dollars 

Forty-one  to  sixty  cars Three  hundred  dollars 

Xixty-one  to  seventy  cars Four  hundred  dollars 

Seventy-one  cars  and  over Five  hundred  dollars 

The  commissioner  of  the  revenue  shall  require  the  agent  of  any  railway 
company  furnishing  transportation  for  such  show  or  shows  to  state  under 
oath  the  total  number  of  cars  of  every  kind,  whether  belonging  to  the 
show  or  to  the  railway  company,  used  in  the  transportation  of  any  such 
show,  and  any  agent  of  any  railway  company  failing  or  refusing  to  make 


108  Report  of  Committee  on  Tax  Revision. 

such  statement  to  the  commissioner  of  the  revenue  shall  be  fined  not  les* 
that  one  hundred  nor  more  than  five  hundred  dollars. 

Circuses  and  Carnivals  at  Outside  Agricultural  Fairs,  Etc. 


.  That  all  traveling  circuses,  carnivals,  or  shows  giving  per- 
formances in  the  open  air.  or  tents,  outside  of  the  enclosure  of  any  and 
all  agricultural  fair  associations  or  corporations  for  one  week  previous 
to.  or  duiing  the  week,  or  one  week  after  the  time  in  which  the  regular 
annual  fairs  of  such  associations  or  corporations  are  fixed  to  be  held,  or 
are  held,  shall  pay  a  license  tax  of  two  hundred  and  fifty  dollars  for 
each  performance,  in  addition  to  the  taxes  now  required  by  law;  and  the 
commissioner  of  the  revenue  shall  so  assess  them,  and  require  payment 
thereof  to  the  county  or  city  treasurer  before  allowing  such  performance. 
For  any  violation  of  the  provisions  of  this  act  the  person  violating 
this  act  shall  be  fined  five  hundred  dollars  for  each  offense,  befoie  any 
justice  of  the  peace  or  court  trying  the  case. 

Hobby-Horse  Machines,  Merry-Go-Round,  and  Other  Like  Machines. 

110.  No  person  shall,  without  a  license  authorized  by  law,  exhibit 
and   operate   any   machine   known   as   hobby-horse   machine,   merry-go- 
round,  ocean   wave,  ferris  wheel,  or  other  like  machines,  whether  the 
same  is  propelled  by  hand,  horse,  steam,  electric  or  other  power. 

License  to  Hobby-Horse  Machines,  Merry-Go-Round,  and  Other  Like 

Machines. 

111.  Every  person  who  operates  a  hobby-horse  machine,  merry-go- 
round,  ocean  wave,  ferris  wheel,  or  other  like  machines,  on  which  persons 
are  charged  for  riding,  shall  pay  ten  dollars  for  each  county  or  city  in 
which  such  machine  is  operated.     Any  person  operating  any  such  ma- 
chine, without  first  having  paid  the  specific  amount  therefor,  shall  pay 
a  fine  of  not  less  than  twenty  dollars,  nor  more  than  fifty  dollars  for 
each  offense. 

License  to  Permanent  Parks  for  Public  Amusement. 


j.  That  all  owners  and  operators  of  permanent  parks  for  public 
amusement,  which  shall  be  open  for  the  public  for  at  least  three  months 
during  each  year,  shall  have  the  option  of  being  exempted  from  the  pay- 
ment of  the  licenses  provided  in  sections  ninety-eight,  ninety-nine,  one 
hundred  and  five,  one  hundred  and  six,  one  hundred  and  seven,  one 
hundred  and  nine,  one  hundred  and  ten,  one  hundred  and  eleven,  one 
hundred  and  twelve,  one  hundred  and  twenty-two,  one  hundred  and 
thirty-nine,  of  an  act  approved  April  sixteenth,  nineteen  hundred  and 
three,  and  amended  by  an  act  approved  February  nineteenth,  nineteen 
hundred  and  four,  entitled  "an  act  to  raise  revenue  for  the  support  of 
the  government  and  public  free  schools,  and  pay  the  interest  on  the 
public  debt,  and  provide  a  special  tax  for  pensions,  as  authorized  by 


Chapter  III — License  Laws  and  Taxes.  109 

section  one  hundred  and  eighty-nine  of  the  Constitution,  and  in  lieu 
thereof,  upon  the  pa}Tment  of  a  special  license  tax  of  four  hundred  dollars 
for  a  period  of  four  months,  and  six  hundred  dollars  for  a  period  of  eight 
months,  and  eight  hundred  dollars  for  a  period  of  one  year,  shall  have 
the  privilege  oi  doing  any,  or  all  of  the  things,  set  out  in  the  above 
sections  ninety-eight,  ninety-nine,  one  hundred  and  five,  one  hundred 
and  six,  one  hundred  and  seven,  one  hundred  and  nine,  one  hundred 
and  ten,  one  hundred  and  eleven,  one  hundred  and  twelve,  one  hundred 
and  twenty-two,  one  hundred  and  thirty -nine  of  said  act,  and  shall  be 
exempted  from  the  payment  of  the  license  taxes  provided  in  said  section. 

License  to  Public  Rooms  and  Skating1  Rinks. 

112.  Every  proprietor  or  occupier  of  a  public  theatre,  or  other  room 
or  rooms  fitted  for  public  exhibitions  for  the  use  of  which  a  charge  is 
made  shall  pay  twenty  dollars  for  the  privilege,  except  in  a  county  or 
town  of  less  than  two  thousand  inhabitants,  provided,  that  every  person 
who  shall  establish,  keep  or  exhibit  for  profit  a  skating  rink  shall  pay 
for  the  privilege  of  keeping  or  exhibiting  such  skating  rink  as  follows : 

First.  When  such  rink  is  kept  or  exhibited  in  a  city  of  more  than 
ten  thousand  inhabitants,  he  shall  pay  the  sum  of  ten  dollars  per  quaiter. 

Second.  When  such  rink  is  kept  or  exhibited  in  a  city  or  town  of 
not  more  than  ten  thousand  nor  less  than  two  thousand  inhabitants,  he 
shall  pay  the  sum  of  seven  dollars  and  fifty  cents  per  quaiter. 

Third.  When  such  rink  is  kept  or  exhibited  anywhere  else  than  in 
the  towns  and  cities  above  mentioned,  he  shall  pay  the  sum  of  five  dollars 
per  quarter. 

Public  Rooms. 

113.  No  person  shall,  without  a  license  authorized  by  law,  charge  for 
the  use  of  any  house  or  room  therein  in  a  city  or  town,  or  in  any  manner 
receive  compensation  for  the  use  of  same,  while  used  or  employed  to 
exhibit  therein  any  theatrical  performance,  lecture,  concert,  or  any  other 
exhibition.    Wherever  such  charge  is  made,  or  compensation  is  demanded 
or  received  for  the  use  of  such  house,  or  any  public  room  or  rooms, 
fitted  for  the  purpose,  a  license  shall  be  obtained;  but  no  license  shall  be 
required  of  the  proprietor  or  occupier  of  such  house  or  public  room  or 
rooms  in  a  town  containing  less  than  two  thousand  inhabitants.     No 
license  to  use  such  house  for  such  exhibition  or  performance  shall  be 
construed  to  exempt  the  house  from  taxation  as  property  or  to  allow  the 
use  of  such  hall  as  a  skating  rink  without  paying  an  additional  license. 
For  any  violation  of  this  section  the  person  so"  offending  shall  pay  a  fine 
of  not  less  than  fifty  dollars  nor  more  than  one  hundred  dollars  for 
each  offense. 

Soft  Drinks;  Manufacture,  Sale  Of,  Etc. 

113y2.  1.  That  for  the  privilege  of  selling  soft  drinks  from  a  soda 
fountain  in  cities  and  towns  of  five  hundred  or  more  inhabitants  there 


110  Report  of  Committee  on  Tax  Revision. 

shall  be  paid  to  the  State  an  annual  license  of  ten  dollars  for  each 
fountain,  and  for  the  privilege  of  selling  soft  drinks  from  soda  fountains 
otherwise  located,  there  shall  be  paid  an  annual  license  tax  of  five  dollars 
for  each  fountain;  and  for  the  privilege  of  manufacturing  otherwise  than 
at  soda  fountains,  or  for  bottling  soft  drinks,  there  shall  be  paid  the 
annual  license  tax  of  thirty  dollars. 

2.  Soft  drinks  under  this  act  shall  include  all  of  the  drinks  for  which 
liquor  license  is  not  required;  provided,  however,  that  nothing  in  this 
act  shall  apply  to  the  manufacture  or  sale  of  cider  which  is  the  pure 
juice  of  the  apple. 

Attorneys,  Physicians  and  Dentists. 

114.  No  person  shall,  without  a  license  authorized  by  law,  practice 
as  attorney  at  law,  physician,  surgeon,  dentist,  or  the  art  of  healing 
bodily  or  mental  infirmities  without  physic  or  surgery;  and  no  person 
who  shall  hereafter  apply  for  license  to  practice  as  a  physician,  or  surgeon, 
or  dentist,  shall  have  such  license  granted  to  him  unless  at  the  time 
of  such  application  he  shall  exhibit  to  the  commissioner  of  the  revenue  to 
whom  such  application  is  made  a  certificate  from  the  president  of  the 
State  board  of  medical  examiners    or  from  the  president  of  the  State 
board  of  dental  examiners,  that  such  person  has  passed  a  satisfactory 
e>  animation  before  said  board,  or  a  special  permit  from  the  president  of 
either  of  said  boards,  or  shall  file  with  him  an  affidavit  that  such  appli- 
cant for  a  license  to  practice  medicine  or  surgery  commenced  the  practice 
of  medicine  or  surgery  in  this  State  prior  to  the  first  day  of  January, 
eighteen  hundred  and  eighty-five,  which  affidavit  shall  be  subscribed  and 
sworn  to  by  such  applicant.     Any  person  who  shall  make  a  false  oath 
in  such  affidavit  shall  be  deemed  guilty  of  perjury  and  liable  to  all  the 
prescribed  penalties  therefor;  provided,  that  persons  who  held  license  to 
practice  dentistry  in  this  Commonwealth  on  the  twenty-eighth  day  of 
January,  eighteen  hundied  and  ninety,  and  have  complied  with  the  re- 
quirements of  section  seventeen  hundied  and  seventy -four,  shall  not  be 
required  to  have  a  certificate  from  the  president  of  the  board  of  dental 
examiners  when  he  applies  for  a  license;  and  provided,  further,  that 
nothing  contained  in  this  section  shall  prevent  any  authoiized  physician 
or  surgeon,  or  other  person,  from  extracting  teeth  from  any  one  suffering 
from  toothache. 

An  Attorney  at  Law;  Where  He  May  Practice. 

115.  Every  attorney  at  law.  in  addition  to  being  licensed,  sworn  and 
admitted  to  prosecute  or  defend  actions  or  other  proceedings  in  the  courts 
of  this  Commonwealth,  on  the  retainer  of  clients,  shall  obtain  a  revenue 
license;  and  no  peison  shall  act  as  attorney  at  law  or  practice  law  in 
the  courts  of  this  Commonwealth  without  a  separate  revenue  license. 
A  revenue  license  to  practice  law  in  any  county  or  corporation  shall  auth- 
orize such  attorney  to  practice  in  all  the  courts  of  this  State  without 
additional  license.     Any  person  violating  the  provisions  of  this  section 


Chapter  III — License  Laws  and  Taxes.  Ill 

shall  pay  a  fine  of  not  less  than  fifty  dollars  nor  more  than  one  hundred 
dollars  for  each  offense. 

Licenses  to  Attorneys  at  Law. 

116.  Every  attorney  at  law  who  has  been  licensed  for  less  than  five 
years  shall  pay  fifteen  dollars;  and  on  attorneys  who  have  been  licensed 
and  practiced 'for  five  years  and  more,  twenty-five  dollars;  provided,  that 
no  attorney  at  law  shall  be  required  to  pay  more  than  fifteen  dollars  whose 
receipts  are  less  than  five  hundred  dollars  per  annum. 

Dentists. 

117.  No  person  shall  practice  as  a  dentist  for  compensation  with- 
out a  revenue  license,  but  a  license  granted  to  practice  dentistry  in  any 
county  or  corporation  shall  authorize  such  dentist  to  practice  throughout 
the  Commonwealth.    Any  person  violating  any  of  the  provisions  of  this 
section,  or  who  shall  practice  the  profession  of  dentistry  without  having 
first  obtained  a  revenue  license  therefor,  shall  pay  a  fine  of  not  less  than 
thirty  dollars  nor  more  than  one  hundied  dollars  for  each  offense,  and 
shall  be  debarred  from  recovering  any  compensation  for  such  services  by 
action,  suit,  motion  or  warrant  in  any  of  the  courts  of  the  Common- 
wealth.   And  any  commissioner  of  the  revenue  who  shall  grant  a  license 
to  practice  as  a  dentist  to  any  person  who  shall  not  have  complied  with 
the  provisions  of  this  section  shall  be  deemed  guilty  of  a  misdemeanor, 
and  shall  be  subject  to  a  fine  of  fifty  dollars  for  each  offense. 

Licenses  of  Dentists. 

118.  Every  dentist  who  has  been  licensed  for  less  than  five  years 
shall  pay  ten  dollars,  and  every  dentist  who  has  been  licensed  and  piac- 
ticed  for  five  years  and  more  shall  pay  fifteen  dollars;  but  in  cities  and 
towns  of  five  thousand  inhabitants  or  more,  the  tax  on  dentists  shall  be 
twenty-five  dollars;  provided,  that  no  dentist  shall  be  lequired  to  pay 
more  than  ten  dollars  whose  receipts  are  less  than  five  hundred  dollars 
per  annum.    Every  dentist  shall  be  licensed  by  the  Commissioner  of  the 
revenue  for  the  district  or  city  wherein  such  dentist  has  his  regular  and 
principal  office. 

Veterinary  Surgeons. 

118.  (a)  No  person  shall  practice  as  a  veterinary  surgeon  for  com- 
pensation without  a  license. 

Any  person  violating  any  of  the  provisions  of  this  section  shall  be 
guilty  of  a  misdemeanor,  and  shall,  upon  conviction,  pay  a  fine  of  not 
less  than  twenty-five  dollars  nor  more  than  fifty  dollars  for  each  offense. 

Every  veteiinary  surgeon  shall  pay  a  license  tax  of  ten  dollars;  pro- 
vided, that  nothing  in  this  act  shall  be  construed  as  requiring  a  license 
tax  of  persons  who  confine  their  piactice  to  castration,  spaying  or  dis- 
horning of  live  stock. 


112  Report  of  Committee  on  Tax  Revision. 

Venders  of  Medicines,  Salves,  Liniments,  Etc. 

119.  No  person  shall  sell  any  medicines,  salve,  liniment,  or  compound 
of  a   like  kind,  unless  he  be  a   licensed  merchant,  whether  he  he  the 
manufacturer  thereof  or  not,  without  a  license.    An}'  person  selling  any 
medicine,  salve,  liniment,  or  any  compound  of  a  like  kind  without  having 
first  obtained  a  license  for  such  privilege,  shall  pay  a  fine  of  not  less 
than  thirty  dollars  nor  more  than  one  hundred  dollars  for  each  offense. 

License  to  Venders  of  Medicines,  Salves,  Liniments,  Etc. 

120.  Every  person  who  shall  sell  any  medicine,  salve,  liniment,  or 
compound  of  the  like  kind,  except  a  licensed  merchant  at  his  regular 
place  of  business,  shall  pav  one  hundred  dollars. 

Daguerrean  and  Photograph  Artists  and  Their  Agents. 

121.  Any  person  who  takes,  or  exposes,  on   plates,   films,   or  sen- 
sitized material,  or  who  develops  or  prints  images  of  objects  according 
to  the  invention  of  the  daguerreotype  or  photograph  process,  or  who  does 
any  or  all  of  these  things,  by  whatever  name  it  may  be  known  or  called, 
shall  be  deemed  a  daguerreotype  artist,  and  any  person  who  shall  can- 
vass for  any  daguerrean  artist,  or  photographer,  or  shall  act  as  the  agent 
of  such  artist,  or  photographer   in  transmitting  pictures,  daguerreotypes, 
or  photographs,  to  other  points  for  the  purpose  of  having  them  copied 
or  enlarged,  or  colored,  shall  be  deemed  a  daguerrean  artist's  agent  or 
canvasser,  and  he  shall   be  deemed   a  daguerrean  or  photograph  can- 
vasser, whether  he  acts  for  himself  or  for  another,  and  everv  such  artist 
or  agent  engaged  in  the  business  aforesaid,  or  as  a  canvasser  therefor, 
shall  obtain  a  license,  and  it  shall  be  unlawful  so  to  engage  without 
a  license. 

For  every  violation  of  this  section  the  person  offending  shall  pay 
a  fine  of  not  less  than  fifty  dollars,  nor  more  than  five  hundred  dollars. 

Nothing  in  this  act  shall  apply  to  amateur  photographers  who  ex- 
pose, develop  and  finish  their  own  work,  and  who  do  not  part  with  the 
same  for  compensation,  and  who  do  not  receive  any  compensation  for 
performing  any  of  the  processes  herein  set  forth. 

License  of  Daguerrean  and  Photograph  Artists  and  Agents. 

122.  Every  person  who  shall  engage  in  the  business  of  a  daguerrean 
or  photograph  artist's  agent  or     canvasser,  shall  pay  for  the  privilege 
the  sum  of  ten  dollars  in  a  county  or  in  a  town  of  two  thousand  inhabi- 
tants or  under ;  and  if  in  a  city  or  town  of  more  than  two  thousand,  and 
less  than  ten  thousand  inhabitants,  he  shall  pay  thirty  dollars;  and  if  in 
a  city  of  more  than  ten  thousand  and  less  than  twenty  thousand  inhabi- 
tants, he  shall  pay  foity  dollars;  and  if  in  a  city  of  more  than  twenty 
thousand  inhabitants,  he  shall  pay  fifty  dollars;  and  he  shall  pay  an 
additional  sum  of  five  dollars  for  each  county  or  city  in  which  he  operates 
other  than  that  in  which  he  has  his  regular  place  of  business. 


Chapter  111 — License  Laws  and  Taxes.  113 

Stallions  and  Jackasses. 

123.  No  person  shall,  without  a  license  authorized  by  law,  let  tt 
mares,  other  than  his  own,  for  compensation,  any  stallion  or  jackass 
Every  license  to  the  owner  of  a  stallion  or  jackass  shall  specify  the  name 
of  such  stallion  or  jackass,  if  any  name  has  been  given.     A  license  to 
the  owner  of  any  such  stallion  or  jackass,  for  any  county  or  corporation, 
shall  be  good  for  twelve  months  from  its  date,  and  shall  authorize  the 
stallion  or  jackass  to  stand  in  any  county  or  city  without  an  additional 
license.     Any  person  violating  the  provisions  of  this  section  shall  pay 
a  fine  of  not  less  than  thirty  dollars  nor  more  than  fifty  dollars  for  each 
offense. 

Licenses  to  Owners  of  Stallions  and  Jackasses. 

124.  For  letting  to  mares  any  stallion  or  jackass  there  shall  be 
paid  ten  dollars. 

License  on  Bulls. 

125.  Any  person  owning  a  bull  or  bulls  in  this  State  may  apply  to 
the  commissioner  of  the  revenue  of  the  district  or  city  in  which  he  re- 
sides,  for  a  special  license  for  the  privilege  of  letting  such  bull  or  bulls 
to  cows  other  than  his  own,  which  tax  shall  be  for  the  sum  of  two  dollars 
and  fifty  cents  on  each  bull  so  licensed. 

Any  person  so  obtaining  said  license  shall  have  a  lien  on  the  get  of 
such  bull  so  licensed  for  a  period  of  six  months  from  the  date  of  the  birth 
of  such  get  for  the  price  agreed  upon  between  him  and  the  owner  of 
any  such  cow  or  cows  served  by  such  bulls. 

Agents  for  Renting  Houses. 

126.  Any  person  engaged  in  renting  houses,  farms,  or  other  real 
estate  for  compensation  or  profit  shall  be  deemed  to  be  an  agent  for 
renting  houses,  and  when  licensed  as  such  may  engage  not  only  in  rent- 
ing houses,  but  in  renting  anv  real  estate :  provided   that  administrators, 
guardians,  executors,  and  other  fiduciaries  shall  be  exempt  from  the 
license  herein  required.     Any  person  engaged  as  an  agent  for  renting 
houses  as  aforesaid  without  a  license  shall  pay  a  fine  of  not  less  than 
fifty  dollars  nor  more  than  one  hundred  dollars  for  each  offense. 

Licenses  to  Agents  for  Renting  Houses. 

127.  Every  person  who  shall  act  as  agent  for  the  renting  of  houses 
in  cities  of  over  five  thousand  inhabitants  shall  pay  the  sum  of  thirty 
dollars,  and  in  towns  of  less  than  five  thousand  inhabitants,  or  in  any 
one  county,  ten  dollars  for  the  privilege  of  transacting  such  business. 

Labor  Agents. 

128.  Any  person  who  hires  or  contracts  with  laborers,  male  or  female, 
to  be  employed  by  persons  other  than  himself,  shall  be  deemed  to  be  a  labor 


114  Report  of  Committee  on  Tax  Revision. 


agent;  and  no  person  shall  engage  in  such  business  without  having  first 
obtained  a  license  therefor.  Every  person  who  shall  without  a  license 
conduct  business  as  a  labor  agent,  shall  pav  a  fine  of  not  less  than 
one  hundred  dollars,  nor  more  than  fivo  hundred  dollars. 

License  to  Labor  Agents. 

129.  Every  person  who  engages  in  the  business  of  a  labor  agent  shall 
pay  twenty-five  dollars  for  the  purpose  of  transacting  said  business,  but 
before  any  such  license  shall  be  issued,  the  applicant  shall  produce  a  cer- 
tificate from  the  corporation  court  of  the  city,  or  the  circuit  court  of  the 
county  in  which  such  labor  agent  proposes  to  have  his  office,  or  of  the 
county  in  which  he  proposes  to  do  business,  that  to  the  personal  knowledge 
of  the  judge  of  such  court,  or  from  the  information  of  credible  witnesses 
under  oath  before  such  court,  the  court  is  satisfied  that  the  applicant 
is  a  person  of  good  character  and  honest  demeanor. 

Persons  Operating  Laundries. 

130.  Every  person  who  operates  a  laundry  shall  pay  for  the  privilege 
of  conducting  such  business;  if  it  be  a  laundr}r,  operated  other  than  by 
hand,  in  the  country  or  in  towns  of  two  thousand  inhabitants  or  less,  five 
dollars;  and  in  towns  and  cities  of  over  two  thousand  and  not  over  five 
thousand  inhabitants,  ten  dollars;  and  in  towns  and  cities  of  over  five 
thousand  inhabitants,  twenty-five  dollars;  and  if  it  be  a  hand  laundry  the 
amount  to  be  paid  for  the  privilege  shall  be  two  dollars  and  fifty  cents  in 
the  country,  and  in  towns  of  two  thousand  inhabitants  or  less,  and  in 
towns  and  cities  of  over  two  thousand  inhabitants  and  not  over  five  thou- 
sand inhabitants,  five  dollars ;  and  in  towns  and  cities  of  over  five  thousand 
inhabitants,  ten  dollars.    Any  person  who  shall  without  a  license  conduct 
such  business  shall  be  subject  to  a  fine  of  not  less  than  ten  dollars  nor 
more  than  fifty  dollars.     But  nothing  in  this  act  shall  be  construed  to 
impose  a  license  tax  upon  persons  who  wash  bed-clothing,  wearing  ap- 
parel, and  so  forth,  without  laundry  machinery,  and  who  do  not  keep 
shops  or  other  regular  places  of  business  for  laundry  purposes. 

Storage  and  Impounding. 

131.  No  person  shall   without  a  license  authorized  by  law   keep  for 
compensation  any  house,  yard,  or  lot  for  storage  or  impounding  any 
produce,  wares,  or  merchandise,  including  wood,  coal,  lumber,  guano, 
marl,  or  other  commodities,  or  any  live  stock,  or  make  demand  or  re- 
ceive in  any  manner  compensation  for  the  storage  or  impounding.    Any 
person  who  shall  demand  or  receive  compensation  for  storage  or  impound- 
ing, as  aforesaid,  or  who  shall  in  any  manner  violate  the  provisions  of 
this  section,  shall  pay  a  fine  of  not  less  than  fifty  dollars  nor  more  than 
five  hundred  dollars  for  each  offense. 


Chapter  III — License  Laws  and  Taxes.  115 

Licenses  for  Storage  and  Impounding. 

132.  Every  person  who  shall  keep  for  compensation  any  house,  yard 
or  lot  for  storage  or  wagon  yard,  or  other  iinpounding,  shall  pay  a  sum 
for  said  privilege,  to  be  graduated  as  follows:  on  every  house,  the  sum 
of  twenty-five  dollars,  except  that  in  a  city  or  town  whose  population 
exceeds  thirty  thousand  the  amount  to  be  paid  shall  be  fifty  dollars,  and 
on  every  yard,  wagon  yard  or  lot,  ten  dollars,  provided  that  nothing  shall 
be  charged  for  this  privilege  when  the  compensation  to  the  owner  is 
less  than  fifty  dollars  per  annum. 

Livery  Stables. 

133.  Any  person  who  keeps  a  stable  or  stalls  in  which  horses  are 
kept  at  livery  or  fed,  or  at  which  horses  and  vehicles  are  hired  for  com- 
pensation by  the  proprietor,  shall  be  deemed  to  keep  a  livery  stable;  and 
no  person  shall,  without  a  license  authorized  by  law,  keep  a  livery  stable; 
but  this  section  shall  "not  be  construed  to  prevent  the  keeper  of  a  lic- 
ensed ordinary  or  house  of  private  entertainment  from  feeding  the  horses 
of  travelers  or  guests  stopping  at  such  ordinary  or  house  of  private 
entertainment.    Any  person  violating  the  provisions  of  this  section  shall 
pay  a  fine  of  not  less  than  thirty  dollars  nor  more  than  one  hundred 
dollars  for  each  offense. 

Licenses  to  Livery  Stable  Keepers. 

134.  Every  person  who  shall  keep  a  livery  stable  in  the  country,  and  in 
towns  of  less  than  two  thousand  inhabitants,  shall  pay  the  sum  of  fifteen 
dollars,  and  an  additional  sum  of  fifty  cents  for  each  additional  stall  in 
excess  of  twenty-five,  and  in  towns  of  two  thousand  inhabitants  and  over, 
he  shall  pay  twenty-five  dollars,  and  an  additional  tax  of  fifty  cents  for 
each  stall  therein.    And  herein  shall  be  included  as  stalls  such  space  as 
may  be  necessary  for  a  horse  to  stand  and  in  which  a  horse  may  be  kept. 
The  license  to  keep  a  stable  by  the  proprietor  of  public  watering  places 
and  other  places  of  summer  resort,  or  any  other  person  at  such  places,  for 
six  months  or  less,  shall  be  one-half  of  the  sums  hereinbefore  specified. 
Every  person,  for  the  privilege  of  running  a  single  hack,  carriage,  cab  or 
other  vehicle  for  carrying  passengers  for  hire,  shall  pay  ten  dollars,  ex- 
cept that  a  license  of  two  dollars  and  fifty  cents  only  shall  be  imposed  on 
persons  running  such  conveyances  solely  in  the  country  or  in  towns  of 
not  more  than  one  thousand  inhabitants.     Every  person  who  shall  keep 
a  feed  stable  for  boarding  horses  for  compensation,  shall  pay  for  such 
privilege  five  dollars  in  the  country  and  in  a  town  of  less  than  two  thou- 
sand inhabitants,  and  in  a  town  or  city  of  two  thousand  or  over  two 
thousand  inhabitants,  ten  dollars.    Every  person  for  the  privilege  of  run- 
ning a  conveyance  of  any  kind  for  transfer  of  baggage,  freight,  furniture 
or  other  articles  or  merchandise  in  cities  and  towns  of  two  thousand  in- 
habitants and  over,  shall  pay  for  each  one  horse  conveyance  the  sum  of 
two  dollars  and  fifty  cents,  and  for  each  conveyance  of  two  horses  or 
more,  the  sum  of  five  dollars  on  each  conveyance. 


Report  of  Committee  on  Tax  Revision. 


Licenses  to  Persons  Selling  or  Offering  to  Sell  Sewing  Machines  and 

Accessories. 

135.  First.  No  manufacturer  or  other  person,  whether  he  be  licensed 
at>  a  peddler,  merchant  or  sample  merchant,  or  not,  shall  canvass  any 
county,  town  or  city,  for  the  purpose  of  selling  or  offering  to  sell,  or 
shall  actually  sell  or  deliver,  sewing  machines  and  accessories,  unless 
he  be  licensed  as  provided  in  this  section. 

Second.  Any  manufacturer  desiring  the  privilege  of  selling,  or  of- 
fering to  sell,  or  of  selling  and  delivering  sewing  machines  manufactured 
by  him,  and  accessories  to  sewing  machines,  throughout  the  Common- 
wealth, shall  apply  to  the  auditor  of  public  accounts  for  a  license,  and 
it  shall  be  the  duty  of  the  auditor  of  public  accounts,  upon  the  payment 
into  the  State  Treasury  of  the  sum  of  two  hundred  dollars  for  the  privi- 
lege of  transacting  such  business,  to  grant  such  license,  and  such  payment 
shall  be  in  lieu  of  any  additional  State,  county,  city,  or  town  license 
tax  or  levy. 

The  name  of  the  manufacturer  shall  be  stated  in  the  license,  and 
such  license  shall  be  a  personal  privilege  to  the  manufacturer  to  whom  it 
is  granted,  and  shall  not  be  transferable,  but  any  one  representative  of 
such  manufacturer  can  sell  thereunder  for  the  said  manufacturer  ;  should 
such  manufacturer  desire  to  employ  more  than  one  representative,  such 
manufacturer  so  licensed  may  obtain  from  the  auditor  of  public  accounts 
separate  certificates  for  as  manv  agents  as  he  may  desire  to  employ  in 
selling  and  offering  to  sell,  or  selling  and  delivering  sewing  machines 
manufactured  by  him,  and  accessories  to  sewing  machines,  upon  the 
payment  of  five  dollars  into  the  State  Treasury  for  each  certificate,  and 
such  certificate  shall  state  the  name  of  the  manufacturer,  and  shall  entitle 
such  agent  to  sell,  or  offer  to  sell,  or  to  sell  and  deliver,  sewing  machines 
manufactured  by  such  manufacturer,  and  accessories  to  sewing  machines, 
throughout  the  Commonwealth,  without  the  payment  of  any  additional 
State,  county,  city  or  town  tax  or  levy. 

Any  licensed  merchant  may  sell,  or  offer  to  sell,  or  to  sell  and  deliver 
at  his  regular  place  of  business  under  his  merchant's  license,  without  the 
payment  of  any  additional  State,  county,  city  or  town  license  tax  or 
levy,  sewing  machines  purchased  by  him  from  any  manufacturer  of  such 
sewing  machines  who  has  taken  out  a  license  to  sell  sewing  machines  of 
his  manufacture,  and  accessories  to  sewing  machines  throughout  the 
Commonwealth;  but  such  merchant,  if  he  desire  to  sell,  or  offer  to  sell,  or 
to  sell  and  deliver,  at  any  place  other  than  at  his  regular  place  of  busi- 
ness, the  sewing  machines  purchased  by  him  from  a  manufacturer  who  has 
been  licensed  as  hereinbefore  provided,  shall  obtain  a  certificate  from  the 
auditor  of  public  accounts,  and  shall  pay  into  the  State  treasury  therefor 
the  sum  of  five  dollars  and  he  shall  also  in  like  manner  pay  five  dollars 
for  a  certificate  for  each  person  in  his  employment  engaged  in  selling  or 
offering  to  sell,  or  in  selling  and  delivering,  elsewhere  than  at  his  regular 
place  of  business,  the  said  sewing  machines,  and  accessories  to  sewing 
machines,  and  such  payment  shall  be  in  lieu  of  any  additional  State, 
county,  city  or  town  license  tax  or  levy. 

Any  person  other  than  a  licensed  merchant  or  manufacturer,  may 


Chapter  HI — License  Laws  and  Taxes.        ,  117 

sell,  or  offer  to  sell,  or  sell  and  deliver,  throughout  the  Commonwealth, 
sewing  machines  purchased  by  him  from  any  manufacturer  of  such 
sewing  machines,  who  has  taken  out  a  license  to  sell  sewing  machines  of 
his  manufacture,,  and  accessories  to  sewing  machines,  throughout  the 
Commonwealth :  provided,  he  obtain  a  certificate  from  the  Auditor  of 
Public  Accounts  and  pay  into  the  Treasury  of  the  State  the  sum  of  five 
dollars,  and  such  payment  shall  be  in  lieu  of  any  additional  State,  county, 
city,  or  town  license  tax  or  levy. 

Third.  Any  person  other  than  those  licensed  under  the  foregoing 
section  desiring  the  privilege  of  canvassing  any  county  or  city,  for  the 
purpose  of  selling  or  offering  to  sell  sewing  machines  and  accessories, 
shall  apply  to  one  of  the  commissioners  of  the  revenue  for  such  county 
or  city  for  such  license ;  and  upon  the  granting  of  such  license,  and  the 
payment  of  twenty  dollars  to  the  treasurer  of  such  county  or  city,  he  shall 
have  the  privilege  of  selling,  offering  to  sell,  and  of  selling  and  delivering 
sewing  machines  and  accessories  of  any  manufacturer  in  such  county 
or  city.  Any  such  person  so  licensed  mav  obtain  the  like  privilege  in 
any  other  county  or  city  upon  the  production  to  one  of  the  commissioners 
of  "the  revenue  of  such  other  county  or  city  of  his  license  to  sell  as  afore- 
said, and  upon  the  payment  of  the  sum  of  ten  dollars  to  the  treasurer 
of  such  other  county  or  city.  Such  license  shall  be  a  personal  privilege, 
and  shall  not  be  transferable;  but  no  separate  license  shall  be  required  to 
be  obtained  by  any  person  licensed  under  this  section  in  order  to  auth- 
orize such  person  to  sell  the  said  accessories  of  any  manufacturer  . 

Fourth.  There  shall  be  no  abatement  from  the  said  sum  to  be  paid 
for  the  license  to  sell  sewing  machines  or  accessories,  if  the  same  be 
exercised  for  less  than  one  year.  All  licenses  issued  under  this  section 
shall  expire  on  the  thirtieth  day  of  April  next  after  the  date  of  their  issue. 

Fifth.  Any  manufacturer,  person,  or  agent  selling,  or  offering  to 
eell,  or  taking  orders  for  the  sale  of  sewing  machines  or  accessories,  with- 
out having  obtained  the  license  or  certificate  hereinbefore  required,  shall 
be  deemed  guilty  of  misdemeanor,  and  upon  conviction  thereof,  shall 
be  fined  not  less  than  one  hundred  dollars  nor  more  than  five  hundred 
dollars,  one-half  of  every  such  fine  to  go  to  the  informer. 

Sixth.  Nothing  in  this  section  shall  prevent  licensed  auctioneers  or 
officers  of  the  law,  under  legal  process,  from  selling  second-hand  sewing 
machines,  nor  prevent  any  person  licensed  under  this  section  from  deal- 
ing in  second-hand  sewing  machines  of  any  manufacture  which  have 
become  second-hand  by  having  been  sold  and  used  in  this  State  previous 
to  the  passage  of  this  act,  or  those  which  may  become  second-hand 
machines  after  having  been  sold  under  the  provisions  of  this  section. 

Agents  for  the  Sale  of  Manufactured  Implements  or  Machines  by 
Retail  Other  Than  Sewing  Machines. 

136.  Any  person  who  shall  sell,  or  offer  for  sale,  manufactured  im- 
plements or  machines  by  retail,  or  take  orders  therefor  on  commission 
or  otherwise,  other  than  sewing  machines,  unless  he  be  the  owner  thereof, 
or  a  duly  licensed  merchant,  at  his  regular  place  of  business,  who  shall 
have  paid  a  license  tax  amounting  to  as  nun-h  as  fifteen  dollars  shall  be 


118  Report  of  Committee  on  Tax  Revision. 

deeme'd  to  be  an  agent  for  the  sale  of  manufactured  articles,  and  shall  not 
act  as  such  without  taking  out  a  license  therefor.  No  such  person  shall, 
under  his  license  as  such,  sell,  or  offer  to  sell  such  articles  through  the 
agency  of  another ;  but  a  separate  license  shall  be  required  for  any  agent 
or  employee  who  may  sell,  or  offer  to  sell,  such  articles  for  another.  For 
any  violation  of  this  section  the  person  offending  shall  pay  a  fine  of  not 
less  than  fifty  dollars  nor  more  than  one  hundred  dollars  for  each  offense. 

License  to  Agents  for  the  Sale  of  Manufactured  Implements  or 
Machines  by  Retail  Other  Than  Sewing  Machines. 

137.  Every  agent  for  the  sale  of  manufactured  implements  or  ma- 
chines, other  than  sewing  machines,  shall  pay  for  the  privilege  of  trans- 
acting such  business  the  sum  of  fifteen  dollars,  and  this  shall  give  to  any 
party  licensed  under  this  section  the  right  to  sell  the  same  within  the 
county  or  city  in  which  he  shall  take  out  his  license ;  and  if  he  shall  sell,  or 
offer  to  sell,  the  same  in  any  other  county  or  city  of  the  State,  lie  shall  pay 
an  additional  sum  of  ten  dollars  in  each  county  or  city  where  he  may  sell, 
or  offer  to  sell,  the  same:  provided,  that  any  person  who  shall  pay  an 
annual  tax  to  the  Commonwealth  upon  capital  actually  employed  by  him 
in  the  manufacture  of  the  articles  or  machines  mentioned  in  this  section 
of  not  less  than  thirty  dollars  per  annum,  may,  without  any  further  sum 
being  paid  for  the  privilege  by  himself  or  his  agent,  employ  agents  to  sell 
said  articles  or  machines  manufactured  by  him  in  any  of  the  counties  or 
cities  of  the  State;  and  the  certificate  of  the  treasurer  of  the  county  or 
city  in  which  said  tax  shall  be  paid  by  such  person  on  the  capital  so 
employed  by  him  in  the  manufacture  of  such  articles  or  machines  shall 
be  evidence  of  the  fact  of  such  payment. 

License  Tax  on  Peddlers  of  Manufactured  Implements  and  Machines 

Other  Than  Sewing  Machines,  and  on  Peddlers  of  Cooking 

Stoves  and  Ranges  and  Clocks. 

138.  Every  person  engaged  in  peddling  manufactured  implements 
or  machines,  other  than  sewing  machines,  shall  pay  for  the  privilege  of 
transacting  such  business  the  sum  of  $200.00 ;  and  this  shall  give  to  such 
peddlers  the  right  to  sell  the  same  within  the  county  or  city  in  which  he 
shall  take  out  his  license,  and  if  he  shall  sell,  or  offer  to  sell,  the  same 
in  any  other  county  or  city  in  this  State,  he  shall  pay  an  additional  sum 
of  one  hundred  dollars  in  each  county  or  city  where  he  may  sell  or  offer 
to  sell  the  same. 

Every  peddler  of  cooking  stoves  or  ranges,  and  every  peddler  of 
clocks,  shall  pay  for  the  privilege  of  engaging  in  such  business  the  sum 
of  five  hundred  dollars,  and  this  shall  give  to  such  peddler  the  right  to 
sell  the  same  within  the  county  or  city  in  which  he  shall  take  out  his 
license ;  and  if  he  shall  sell,  or  offer  to  sell,  in  any  other  county  or  city 
of  the  State,  he  shall  pay  in  additional  sum  of  three  hundred  dollars  in 
each  county  or  city  where  he  may  sell  or  offer  to  sell  the  same:  provided, 
that  any  person  selling  clocks,  stoves  and  ranges  under  a  merchant's 
license  and  delivering  the  same  shall  be  deemed  a  peddler  under  the 


Chapter  III — License  Laws  and  Taxes.  119 

provisions  of  this  act  and  subject  to  the  requirements  and  penalties  here- 
inbefore imposed. 

Licenses  on  Slot  Machines. 

139.  Any  person,  firm,  or  corporation,  having  on  a  street,  alley,  or 
other  place  in  the  city,  or  on  any  public  road  in  any  county,  or  in  shops, 
stores,  hotels,  boarding  houses,  depots,  public  or  private  rooms,  or  any 
other  place  anywhere  in  the  State  of  Virginia,  a  slot  machine  of  any 
description   into  which  are  dropped  pennies  or  nickels  or  coins  of  other 
denominations  to  dispose  of  chewing  gum,  or  other  articles  of  merchandise, 
or  for  the  purpose  of  operating  musical  or  other  devices  that  operate 
on  the  nickel-in-the-slot  principle  used  for  gain,  except  as  a  pay  telephone, 
shall  pay  for  every  such  slot  machine,  or  musical  or  other  devices,  as 
the  case  may  be,  a  license  tax  of  ten  dollars  per  year  for  the  use  and  bene- 
fit of  the  State,  except  such  vending  machines  as  are  used  solely  for  the 
sale  of  agricultural  products  or  cigars,  on  which  shall  be  levied  a  license 
tax  of  three  dollars  per  year  for  each  machine,  except  also  weighing 
machines  and  machines  solely  for  the  purpose  of  selling  shoe-strings,  on 
which  shall  be  levied  a  license  tax  of  two  dollars  per  year  for  each 
machine :  provided,  however,  that  nothing  in  this  section  contained  shall 
be  construed  as  permitting  any  such  person,  firm,  or  corporation  to  keep, 
maintain,  exhibit  or  operate  any  slot  machine  or  other  device  in  the 
operation  of  which  cigarettes  or  intoxicating  liquors  are  disposed  of, 
or  in  which  the  element  of  chance  enters,  and  it  shall  not  be  lawful  for 
any  commissioner  of  the  revenue  or  other  officer  to  issue  a  license  under 
this  section  to  any  such  person,  firm,  or  corporation  for  the  keeping, 
maintaining,  exhibiting,  or  operating  of  any  slot  machine  or  other  device 
in  the  operation  of  which  cigarettes  or  intoxicating  liquors  are  disposed 
of,  or  in  which  the  element  of  chance  enters,  the  intent  of  this  section 
being  to  license  only  those  machines  or  devices  in  the  operation  of  which 
the  element  of  chance  does  not  enter,  and  which  are  not  used  to  dispose 
of  cigarettes  or  intoxicating  liquors;  and  provided,  further,  that  this 
license  and  uses  such  slot  machine  simply  for  the  purpose  of  making 
license  and  uses  such  slot  machine  simply  for  the  purpos  eof  making 
sales  of  his  goods  and  merchandise,  and  to  be  used  inside  of  his  place 
of  business,  nor  shall  it  apply  to  slot  machines  used  for  the  purpose  of 
celling  sanitary  drinking  cups,  or  sanitary  drinking  cups  and  natural 
water  at  one  cent. 

Any  person,  firm  or  corporation  having  any  such  machine,  and  fail- 
ing to  procure  a  license  therefor,  shall  be  subject  to  a  fine  of  not  less  than 
twenty  dollars  nor  more  than  fifty  dollars  for  each  offense,  and  such 
machine  shall  become  forfeited  to  the  Commonwealth  . 

License  on  Dealers  in  Pistols,  Dirks,  or  Bowie  Knives. 

140.  No  person,  firm,  or  corporation  shall  sell  pistols,  dirks  or  bowie 
knives  without  having  first  procured  a  license  therefor. 

Every  person,  firm,  or  corporation  engaged  in  the  business  of  selling 
pistols,  dirks,  or  bowie  knives,  or  who  may  hereafter  engage  in  said 


120  Report  of  Committee  on  Tax  Revision. 

business,  shall  pay  for  the  privilege  of  transacting  said  business  a  special 
license  tax  in  the  sum  of  twenty  dollars  per  annum,  and  no  such  license 
shall  be  issued  for  any  period  less  than  one  vear.  nor  shall  there  be  any 
abatement  in  any  instance  of  the  tax  upon  such  license  by  reason  of  the 
fact  that  the  person  or  persons  so  licensed  shall  have  exercised  such 
license  calling  for  a  period  of  less  than  one  year.  Any  person  selling 
pistols,  dirks,  or  bowie  knives  contrary  to  the  provisions  hereof,  or  who 
shall  in  any  manner  violate  the  same,  shall  be  guilty  of  a  misdemeanor, 
arid,  upon  conviction  thereof,  shall  be  fined  not  less  than  twenty-five  dol- 
lars nor  more  than  fifty  dollars  for  each  offense  . 

License  Tax  Upon  Gypsies,  Etc. 

141.  That  a  license  tax  of  two  hundred  dollars,  which  shall  not  be 
prorated,  is  hereby  imposed  on  each  company  of  gypsies  or  other  strolling 
company  of  persons  who  receive  reward  for  pretending  to  tell  fortunes 
to  be  paid  in  each  county  where  such  company  shall  offer  to  practice  any 
of  their  craft.    Any  such  company  (and  every  member  thereof)  who  shall 
practice,  or  offer  to  practice,  any  of  their  craft  without  the  payment  of 
the  license  tax  required  by  this  act,  shall  be  punished  by  a  fine  of  five 
hundred  dollars. 

Automobiles,  Locomobiles,  Motor  Cycles,  Etc.,  for  Hire,  Storage 

or  Sale. 

142.  1.  That  it  shall  be  unlawful  for  any  person,  or  persons,  except 
in  accordance  with  the  provisions  of  this  act,  to  run,  drive  or  operate 
any  automobile,  locomobile,  motor  cycle,  motor  bicycle,  or  any  vehicle 
of  any  kind,  the  motive  power  of  which  shall  be  electricity,  steam,  gas, 
gasoline,  or  any  other  motive  power  except  animal  power,  and  which  said 
vehicles  shall  hereafter  be  called  machines  in  this  act,  on  or  along,  or 
across  any  public  road,  street,  alley,  highway,  avenue  or  turnpike  of  any 
county,  city,  town  or  village  in  the  State  of  Virginia,  except  and  until 
such  person  shall  comply  with  the  provisions  of  this  act. 

2.  Every  owner  of  a  machine  on  or  before  the  first  day  of  January, 
in  each  year,  or  before  he  shall  commence  to  operate  his  machine,  shall 
register  and  obtain  a  license  to  operate  the  same  by  making  application 
to  the  secretary  of  the  Commonwealth  for  a  certificate  of  registration 
and  license  to  operate.  The  application  must  contain  the  name  of  the 
applicant,  his  residence,  and  post-office  address,  and  the  county  in  which 
he  resides,  and  if  a  corporation,  its  place  of  business,  giving  the  name, 
factory  number,  if  any,  fixed  by  its  maker,  a  brief  description  showing 
the  style  of  machine,  source  of  power,  number  of  cylinders  and  horse- 
power. 

3-a.  The  secretary  of  the  Commonwealth  shall  issue  a  certificate  of 
registration  and  license,  giving  the  machine  in  question  a  number,  which 
shall  distinguish  it,  which  certificate  of  regstration  and  license  shall  be 
firmly  attached. to  the  machine  in  an  easily  accessible  place,  and  shall 
be  shown  to  any  sheriff,  constable,  or  other  police  officer,  when  demanded 


Chapter  III — License  Laws  and  Taxes.  121 

to  be  seen  by  said  officer.  The  certificate  and  license  shall  be  in  form 
as  follows: 

This  is  to  certify  that ,  whose  residence 

is ,  and  postoffice  address  is , 

is  the  owner  of  a machine ;  factory  number 

;  horsepower, ;  color  of  body, ; 

color  of  gear,  ;  and  is  hereby  licensed  to  operate  his 

machine  in  the  State  of  Virginia  under  the  registration  and  license 
number for  the  year  

Given  under  my  hand  the day  of 

19.  . 


Secretary  of  the  Commonwealth. 

3-b.  Every  manufacturer,  agent,  or  dealer  in  automobiles,,  locomo- 
biles, motor  cycles,  or  motor  bicycles,  or  other  vehicles  of  like  kind,  on 
or  before  the  first  day  of  January,  in  each  year  or  before  he  commences 
to  operate  machines  to  be  sold  by  him  shall  make  application  to  the 
secretary  of  the  Commonwealth  for  a  dealer's  certificate  of  registration 
and  license.  The  application  shall  state  the  make  of  the  machines  han- 
dled by  the  manufacturer,  agent,  or  dealer,  and  the  probable  number  that 
will  be  disposed  of  during  that  year,  and  on  the  payment  of  the  fee 
of  fifty  dollars  the  Secretary  of  the  Commonwealth  shall  issue  to  such 
dealer  a  certificate  of  registration  and  license  in  form  as  follows : 

This  is  to  certify  that ,  whose  residence 

is and  place  of  business  is 

,  is  a  dealer  in make  of  machines,  and  is  here- 
by licensed  to  operate  machines  to  be  sold  by  him  in  this  State  for  the 
year  ,  under  the  registration  and  license  number 


Given  under  my  hand  this,  the ,  day  of 

,  19.. 


Secretary  of  the  Commonwealth. 

3-c.  Every  person,  other  than  the  owner  of  a  machine  which  has 
been  registered  and  licensed  to  be  operated  in  this  State,  who  shall 
operate  machines  for  pay,  before  he  shall  operate  a  machine  in  this  State 
ah  all  first  take  out  a  chauffer's  license  to  operate  automobiles  in  this 
State,  except  that  a  member  of  a  family  of  a  licensed  owner  of  a  machine, 
who  is  otherwise  qualified,  may  operate  such  machine  without  paying 
additional  license. 

The  applicant  shall  make  application  to  the  secretary  of  the  Com- 
monwealth, which  application  shall  give  the  name  of  the  applicant,  his 
residence,  post-office  address,  age  and  experience  in  operating  automo- 
biles, and  shall  be  sworn  to  before  some  officer  authorized  to  administer 
oaths.  There  shall  be  appended  to  such  application  a  statement,  by 


122  Report  of  Committee  on  Tax  Revision. 

two  reputable  citizens,  that  the  applicant  is  a  fit  person  and  is  competent 
to  operate  an  automobile. 

On  the  payment  of  two  dollars  and  fifty  cents  the  secretary  of  the 
Commonwealth  shall  issue  to  such  applicant  a  license  and  badge,  which 
license  and  badge  shall  be  carried  by  the  chauffer  at  all  times  while 
operating  an  automobile,  the  badge  to  be  plainly  in  evidence  upon  the 
lapel  of  the  chauffer's  coat  or  on  the  front  part  of  the  chauffer's  cap. 
The  license  to  be  in  the  form  following: 

This  is  to  certify  that  ,  whose  residence  is 

,  and  post-office  address  is , 

has  this  day  been  duly  licensed  according  to  law  to  operate  or  drive 
automobiles  over  the  roads  of  this  State  for  the  year 

Given  under  my  hand  this,  the  day  of 

.19.. 


Secretary  of  the  Commonwealth. 

3-d.  The  certificate  of  registration  and  license  of  owner  of  automo- 
bile, certificate  of  registration  and  license  of  owner  of  motor  cycle  or 
motor  bicycle,  dealer's  certificate  of  registration  and  license  and  chauf- 
fer's license  shall  terminate  on  the  thirty-first  day  of  December  of  the 
year  for  which  issued. 

4.  Number  plates  in  duplicate  must  also  be  delivered  to  the  applicant 
b)  the  secretary  of  the  Commonwealth,  upon  which  the  number  assigned 
must  be  painted  in  Arabic  numerals  not  less  than  four  inches  in  height, 
followed  by  the  letters  Va..  and  in  figures  the  year  for  which  issued,  and 
these  plates  must  always  be  in  evidence,  one  upon  the  front  and  the  other 
upon  the  rear  of  the  machine. 

5.  The  fee  for  the  certificate  of  registration  and  license  and  plates  to 
be  paid  by  the  owner  of  an  automobile  or  other  vehicle  the  motive  power 
of  which  is  other  than  animal-power,  except  motor  cycles   or  motor  bi- 
cycles, if  twenty  horse-power  or  less,  shall  be  five  dollars;  and  if  over 
twenty  and  under  forty-five  horse-power,  shall  be  ten  dollars;  and  if 
forty-five  horse-power  or  over,  twenty  dollars.     The  horse-power  to  be 
determined  by  the  rating  given  by  the  manufacturer,  and  if  more  than 
one  rating,  the  highest  is  to  be  taken  for  the  purposes  of  this  act.    The 
fee  for  certificate  of  registration  and  license  and  plates  for  a  motor  cycle 
or  motor  bicycle  shall  be  two  dollars. 

These  fees  shall  be  paid  to  the  secretary  of  the  Commonwealth,  who 
shall  issue  certificates  of  registration  and  license  and  number  plates  as 
provided  for  in  this  act. 

On  and  after  February  first  in  each  and  every  year  every  dealer,  owner 
or  chauffeur  who  shall  operate  an  automobile  or  motor  cycle  over  the 
roads  or  streets  of  the  State  without  first  obtaining  from  the  secretary 
of  the  Commonwealth  a  license  to  operate  the  same,  and  display  the 
license  as  provided  by  law,  shall  be  fined  not  less  than  ten  dollars  nor  more 
than  twenty  dollars.  Each  day's  use  of  the  machine  without  license  shall 
constitute  a  separate  offense  in  the  discretion  of  the  magistrate  or  other 


Chapter  III — License  Laws  and  Taxes.  123 


court  trying  the  case.     One  half  of  any  fine  collected  to  be  paid  the  con- 
stable or  other  police  officer  making  the  arrest. 

6.  If  the  owner  of  a  machine  shall  furnish  satisfactory  proof  of  the 
loss  of  his  certificate  of  registration  and  license,  then  the  secretary  of 
the  Commonwealth  shall  issue  a  duplicate  on  the  payment  of  the  fee  of 
one  dollar.    Should  the  owner  of  a  machine  suffer  the  loss  of  his  number 
plate,  it  shall  be  his  duty  to  report  the  loss  to  the  secretary  of  the  Corn- 
wealth,  who  shall  thereiipon  grant  a  permit  to  have  another  made  and 
used  on  the  machine.    The  new  plate  to  be  as  nearly  like  the  original 
plate  issued  to  him  as  possible. 

7.  Should  the  owner  part  with  the  machine  during  the  year  for  which 
the  certificate  of  registration  and  license  was  issued,  he  shall  immediately 
notify  the  secretary  of  the  Commonwealth  of  such  sale,  and  return  to 
him  the  certificate  and  license.     Should  the  owner  disposing  of  his  ma- 
chine aforesaid  purchase  another  during  that  year,  the  secretary  of  the 
Commonwealth  shall  transfer  the  old  number  to  the  new  machine  and 
issue  a  new  certificate  and  license  for  the  new  machine  on  the  payment 
of  the  fee  of  one  dollar,  provided    the  new  machine  would  require  no 
greater  license  fee  than  that  paid  for  the  old  machine,  but  should  the 
new  machine  require  a  greater  license  fee  than  that  paid  for  the  old 
license,  the  secretary  of  the  Commonwealth  is  authorized  to  make  the 
transfer  on  the  payment  of  the  difference  between  the  license  paid  and 
that  required  for  the  new  machine. 

Should  the  owner  disposing  of  his  machine  desire  the  license  trans- 
ferred to  the  purchaser,  the  secretary  of  the  Commonwealth  is  authorized 
to  make  the  same  on  rceipt  of  a  request  in  writing  from  the  person  in 
whose  name  the  license  was  issued  and  the  fee  for  such  transfer  shall 
be  one  dollar. 

It  shall  be  unlawful  for  any  person  to  attach  or  use  a  number  plate 
or  certificate  or  license  on  a  machine  for  which  it  was  not  issued. 

8.  The  operator  of  a  machine  shall  not  drive  in  the  corporate  limits 
of  any  city  or  town  at  a  greater  rate  of  speed  than  twelve  (12)  miles  an 
hour,  except  in  cases  where  the  local  ordinances  of  such  city  or  town 
shall  provide  otherwise.     Outside  of  the  corporate  limits  of  any  city 
or  town  a  speed  of  twenty  miles  an  hour  is  permissible,  except  going 
around  curves,  down  sharp  declines,  or  at  the  intersection  of  any  cross- 
roads, or  over  the  crest  of  hills,  or  in  passing  other  vehicles  or  riders,  on 
roadways,  when  a  rate  of  speed  not  exceeding  eight  miles  an  hour  must 
be  observed. 

9.  It  shall  be  the  duty  of  the  owner  or  driver  of  any  machine  to  pro- 
duce  his   certificate  for  inspection  when  so  requested  by  the  sheriff 
or  any  constable,  policeman  or  other  peace  officer. 

10.  Any  owner  or  operator,  not  a  resident  of  this  State   who  shall 
have  complied  with  the  laws  of  the  State  in  which  he  resides,  requiring 
the  registration  of  motor  vehicles,  or  licensing  of  operators  thereof,  and 
the  display  of  identification  or  registration  numbers  on  such  vehicles, 
and  who  shall  cause  the  identification  numbers  of  such  State  in  accord- 
ance with  the  laws  thereof,  and  none  other,  together  with  the  initial 
letter  or  letters,  of  such  State  to  be  displayed  on  his  motor  vehicle,  as 
in  the  sub-title  provided,  while  used  or  operated  upon  the  public  highways 


124  Report  of  Committee  on  Tax  Revision. 

of  this  State,  may  use  such  highways  not  exceeding  two  periods  of  seven 
consecutive  days  in  each  calendar  year,  without  complying  with  the 
provisions  of  sections  two,  three-a  and  three-b;  provided,  however  that 
if  any  non-resident  be  convicted  of  violating  any  provisions  of  sections 
eight,  nine,  eleven,  twelve,  thirteen,  he  shall  thereafter  be  subject  to 
and  required  to  comply  with  all  the  provisions  of  said  sections  two, 
three-a.  and  three-b,  relating  to  the  registration  of  motor  vehicles  and 
the  licensing  of  operators  thereof;  and  the  governor  of  this  State  is 
hereby  authorized  and  empowered  to  confer  and  advise  with  the  proper 
officers  and  legislative  bodies  of  other  States  of  the  Union,  and  enter 
into  reciprocal  agreements  under  which  the  registration  of  motor  vehicle? 
owned  by  residents  of  this  State  will  be  recognized  by  such  other  States,. 
and  he  is  further  authorized  and  empowered  from  time  to  time,  to 
grant  to  residents  of  other  States  the  privilege  of  using  the  roads  of  this 
State,  as  in  this  section  provided,  in  return  for  similar  privileges  granted 
residents  of  this  State  by  such  other  States. 

11.  The  following  rate  of  speed  may  be  maintained,  but  shaii  not 
be  exceeded  on  any  of  the  highways  set  forth  in  section  one    of  any 
city,  town  or  village,  or  county  in  this  State,  by  any  one  driving  a 
machine : 

(a)  A  speed  of  eight  miles  an  hour  around  curves  or  bends,  or  where 
the  roadway  is  not  plainly  visible  for  a  distance  of  three  hundred  feet 
ahead,  and  at  the  intersection  of  prominent  cross-roads,  when  such  road 
or  highway  passes  through  the  open  country,  and  when  the  operator  of 
an  automobile  overtakes  a  vehicle  and  indicates  his  desire  to  pass  said 
yehicle,  it  shall  be  the  duty  of  the  driver  of  the  vehicle  to  bear  to  the 
right  and  decrease  his  speed  to  less  than  eight  miles  per  hour,  so  as  to 
enable  the  automobile  to  pass  at  the  left  at  a  speed  not  exceeding  eight 
miles  per  hour. 

(b)  A  speed  of  eight  miles  per  hour  where  a  street  or  highway 
passes  the  built-up  portions  of  a  city,  town  or  village. 

(c)  A  speed  of  eight  miles  an  hour  at  points  on  any  public  highway 
where  there  is  a  gathering  of  horses  or  persons.     Otherwise  the  rate  of 
speed  may  be  twenty  miles  per  hour,  but  this  rate  is  subject  to  the 
conditions  set  forth  in  the  succeeding  sections  of  this  act. 

12.  The  owner,  operator,  conductor,  driver  or  occupant  of  any  such 
machine  shall  keep  a  careful  look  ahead  for  the  approach  of  horseback 
riders,  or  vehicles  drawn  by  horses,  or  other  animals,  and  upon  the  ap- 
proach of  such  riders  or  vehicles,  shall  slow  up,  keep  his  machine  under 
thorough  and   careful   control,   give   ample   roadway  to   such  rider  or 
rehicle,  and  if  signalled  by  such  rider  or  occupant  of  vehicle,  or  be  other- 
wise requested  thereto,  shall  immediately  bring  his  machine   and  ite 
engine  to  a  full  stop  and  allow  ample  room  and  time  to  allow  such 
rider  or  vehicle  to  pass.    And  if  requested  so  to  do  by  said  rider  or  occu- 
pant of  said  vehicle,  the  owner,  operator,  conductor,  driver  or  occupant , 
if  a  male,  of  any  such  machine  shall  lead  the  horse,  or  horses,  past  his 
machine.     Should  any  horse  ridden  or  driven  in  an  opposite  direction 
to  that  which  the  machine  is  traveling  give  evidence  of  fright,  then  the 


Chapter  III — License  Laws  and  Taxes.  125 

duty  of  the  driver  shall  be  the  same  as  if  he  had  been  signalled  to  by  the 
rider  of  the  horse  or  the  occupant  of  the  vehicle. 

13.  When  the  operator,  owner,   occupant,   conductor,   or  driver  of 
such  machine  overtake  a  horse  or  vehicle  traveling  in  the  same  direction 
with  himself,  he  shall  slow  down  his  speed,  signal  for  the  road  by  bell, 
or  gong,  or  horn,  and  if  the  horse  or  other  vehicle  stop,  shall  pass  at  a 
rate  of  speed  not  greater  than  eight  miles  per  hour.    Should  such  vehicle 
or  ridden  horse  not  stop,  and  the  said  operator,  owner,  driver,  conductor, 
or  occupant  of  said  machine  desire  to  pass,  he  shall  do  so  at  a  rate  of 
speed  not  greater  than  may  be  necessary,  and  shall,  in  all  cases,  use  due 
diligence  and  care  not  to  frighten  the  horse,  or  horses.     In  case  of  a 
machine  passing  a  horse  or  vehicle  going  in  the  same  direction  the  pro- 
visions of  section  twelve  of  this  act  shall  apply  to  the  operator,  owner, 
driver,  occupant,  or  conductor  of  the  machine,  except  that  in  such  case 
the  horse    or  horses,  shall  be  held  until  the  horse,  or  horses,  become 
quiet,  and  then  the  machine  mav  proceed. 

Every  machine  shall  be  provided  with  a  lock,  key,  or  other  device,  to 
prevent  its  being  set  in  motion,  and  no  person  shall  allow  any  such 
machine  operated  by  him  to  stand,  or  remain  unattended  in  any  street, 
avenue,  road,  alley,  highway,  park,  parkway  or  any  other  public  place 
without  first  locking,  or  making  fast  the  machine  as  above  provided. 

Every  machine  shall  be  provided  with  a  good  and  sufficient  brake,  or 
brakes,  and  shall  also  be  provided  with  a  suitable  bell,  horn,  or  other 
signal  device. 

Every  machine  operated  in  this  State  shall  have  displayed  from  one 
hour  after  sunset  to  one  hour  before  sunrise  at  least  one  white  light 
throwing  a  bright  light  at  least  one  hundred  feet  in  the  direction  in 
which  the  machine  is  going,  and  also  shall  exhibit  in  the  rear  of  the 
machine  one  red  light,  which  shall  effectually  illumine  the  number  tag 
on  the  rear. 

13-a.  When  the  operator,  owner,  occupant,  conductor  or  driver  of 
any  such  machine  approaches  a  curve,  bend  or  any  place  where  the  road- 
way is  not  plainly  visible  for  a  distance  of  three  hundred  feet  ahead  he 
shall  at  all  times  keep  his  machine  on  the  right  hand  side  of  the  road- 
way sufficiently  to  allow  ample  room  on  the  opposite  side  for  the  passage 
of  other  machines  or  vehicles  irrespective  of  whether  another  machine  or 
vehicle  is  approaching  or  not. 

14.  Any  person,  failing  to  perform  any  duty  imposed  by  any  section 
of  this  act,  or  violating  any  provision,  or  condition  herein  set  forth, 
shall  for  each  offense  be  fined  not  less  than  ten  dollars,  or  imprisoned  in 
jail  not  less  than  five  nor  more  than  thirty  days,  or  both,  in  the  discre- 
tion of  the  justice  of  the  peace  before  whom  the  case  may  be  tried.    An 
appeal  may  be  taken  to  the  circuit  court  of  the  county,  or  corporation 
or  hustings  court  of  the  city,  in  accordance  with  the  general  law  govern- 
ing appeals  in  misdemeanor  cases. 

15.  In  addition  to  such  fine  or  imprisonment,  any  person  violating 
any  of  the  provisions  of  this  act  shall  be  liable  for  damages  actually 
incurred  by  reason  of  such  violation,  and  default  of  the  deposit  with  the 
justice  by  such  owner  or  occupant  of  a  sum  in  cash  reasonably  suffi- 
cient to  pay  such  costs  and  probable  damages,  the  machine  may  be 


126  Report  of  Committee  on  Tax  Revision. 

seized  and  impounded  anywhere  in  any  county  or  city  of  the  State  upon 
the  order  of  the  justice  of  said  county,  or  city,  in  which  the  offense  is 
committed,  and  may,  by  order  of  the  justice,  be  sold  to  pay  such  fine 
or  damage. 

But  before  any  judgment  shall  be  entered  in  said  proceedings  the 
owner  of  such  machine  shall  have  notice  of  the  same  by  publication  or 
otherwise,  according  to  law,  and  allowed  an  opportunity  to  make  de- 
fense, and  the  driver  of  the  machine  shall  be  deemed  an  agent  of  the 
owner  for  the  purpose  of  serving  process. 

16.  In  case  when  any  such  machine  shall  be  impounded,  as  provided 
in  the  preceding  section,  and  judgment  be  against  the  owner,  the  sheriff,, 
constable  or  sergeant,  as  the  case  may  be,  shall  fix  upon  a  time  and 
place  for  the  sale  thereof,  and  post  notices  of  the  same  for  at  least  ten 
days  before  the  date  of  the  sale,  at  three  or  more  public  places  in  his 
county  or  corporation,  and  shall  publish  notice  of  sale  in  some  newspaper 
published  in  the  county  or  city  for  two  consecutive  weeks.    At  the  time 
and  place  so  appointed  such  officer  shall  sell  to  the  highest  bidder  for 
cash  the  said  machine;  and  the  surplus,  if  any  there  be,  after  deducting 
the  amount  of  fine,  cost,  and  damage,  shall  be  paid  to  the  owner  of  the 
machine. 

17.  Nothing  in  this  act  shall  apply  to  the  machines  known  as  trac- 
tion engines,  or  to  any  locomotive  engine,  or  electric  cars  running  on 
rails.    Machines  owned  by  counties  and  cities  and  used  for  purely  county 
and  municipal  purposes  shall  not  be  required  to  be  registered.     And 
nothing  contained  in  this  act  shall  affect  the  right  of  any  person  injured 
in  his  person  or  property  by  the  negligent  operation  of  any  machine  to 
sue  and  recover  damages  as  heretofore. 

18.  All  owners  of  automobiles,  locomobiles  and  other  vehicles  whose 
machines  have  been  registered  in  the  office  of  the  secretary  of  the  Com- 
monwealth under  the  act  approved  March  seventeenth,  nineteen  hundred 
and  six,  since  January  first,  nineteen  hundred  and  ten,  shall  be  required 
to  register  their  machines  when  this  law  becomes  effective,  and  shall  pay 
the  fee  required  by  this  act  less  the  fee  already  paid,  and  shall  retain 
their  present  number  plates  until  January  first,  nineteen  hundred  and 
eleven.    All  machines  registered  prior  to  January  first,  nineteen  hundred 
and  ten,  shall,  as  soon  as  this  law  becomes  effective  register  their  machines 
in  the  office  of  the  secretary  of  the  Commonwealth  for  the  year  nineteen 
hundred  and  ten  and  pay  the  fee  required  by  this  act  for  such  registration. 

19.  All  fees  collected  by  the  secretary  of  the  Commonwealth  under 
the  provisions  of  this  act,  after  the  payment  of  the  necessary  expenses 
incident  to  the  cost  of  purchasing  number  plates  and  paying  cost  of 
mailing  same,  shall  be  paid  into  the  State  treasury,  and  shall  constitute 
a  special  fund  to  be  expended  under  the  direction  of  the  State  highway 
commissioner  in  the  permanent  improvement  of  main  highways  of  this 
State  to  be  expended  according  to  the  provisions  of  an  act  approved  Feb- 
ruary twenty-iifth,  nineteen  hundred  and  eight,  entitled  "an  act  to  pro- 
vide for  State  money  aid,  in  addition  to  convict  labor  for  improvement 
of  public  roads." 

19l/2.  That  every  person  who  shall  keep  a  garage  for  the  storage  or 
care  of  automobiles,  in  the  country  and  in  towns  of  less  than  two  thou- 


Chapter  III — License  Laws  and  Taxes.  127 

sand  (2,000)  inhabitants,  shall  pay  the  sum  of  fifteen  dollars  ($15.00), 
and  an  additional  sum  of  fifty  cents  ($.50)  for  the  storage  capacity  in 
excess  of  five  (5)  of  the  vehicles  hereinafter  defined,  and  in  towns  of  two 
thousand  (2,000)  inhabitants  and  over,  he  shall  pay  twenty-five  dollars 
($25.00),  and  an  additional  tax  of  fifty  cents  ($.50)  for  the  storage 
capacity  over  five  (5)  of  each  of  the  vehicles  hereinafter  mentioned,  and 
in  cities  he  shall  pay  a  tax  of  one  hundred  dollars  ($100.00),  and  one 
dollar  ($1.00)  additional  for  each  vehicle  for  the  storage  capacity  of 
each  vehicle  over  five.  The  license  to  keep  a  garage  by  the  proprietor 
of  public  watering  places  and  other  places  of  summer  resort,  or  any 
person  at  such  places,  for  six  months  or  less,  shall  be  one-half  of  the 
sums  hereinbefore  specified. 

20.  A  garage,  as  used  within  the  terms  of  this  act,  shall  mean  every 
place  where  three  or  more  motor  vehicles  are  stored  or  housed  at  any  one 
time  for  compensation,  except  only  such  places  in  which  automobiles  or 
motor  vehicles  of  other  kinds  are  kept  by  the  owners  thereof  without  pay- 
ment for  storage. 

20l/2.  Every  person  for  the  privilege  of  running  an  automobile,  taxi- 
cab,  or  motor  vehicle  of  any  kind  for  hire,  in  the  transportation  of  mer- 
chandise or  passengers,  shall  for  each  machine  operated  pay  the  sum  of 
ten  dollars. 

21.  Any  person,  firm,  association,  or  corporation,  licensed  under  this 
act,  shall  pay  a  license  tax  in  the  corporation  or  county  in  which  such 
automobile,  locomobile,  or  other  vehicle  is,  or  in  which  such  garage  is 
located,  but  in  no  case  shall  any  person  pay  a  license  tax  in  more  than 
one  city  or  county. 

22.  Any  person  violating  sections  nineteen  and  twenty  of  this  act 
shall,  upon  conviction,  pay  a  fine  of  not  less  than  fifty  dollars  nor  more 
than  one  hundred  dollars  for  each  offense. 


Report  of  Committee  on  Tax  Revision. 


CHAPTER  IV. 
PUBLIC   SERVICE   CORPORATIONS. 

In  the  constitutional  convention  of  1902,  provision  was  made  for  the 
creation  of  a  State  Corporation  Commission,  and  one  of  the  duties  im- 
posed on  this  Commission  was  the  assessment  for  taxation  of  the  prop- 
erties of  railway  and  canal  corporations  within  the  State.  By  successive 
acts  of  the  General  Assembly  the  assessment  of  all  public  service  corpora- 
tions in  Virginia  have  been  imposed  upon  this  Commission.  These  corpo- 
rations may  be  enumerated  and  treated  for  the  purposes  of  this  report 
as  follows: 

(1)  Eailway  (steam  roads)  and  canal  corporations; 

(2)  Street  car  companies; 

(3)  Water,  heat,  light  and  power  companies; 

(4)  Telegraph  and  telephone  companies; 

(5)  Sleeping  and  parlor  car  companies; 

(6)  Express  and  private  car  companies. 

(7)  Steamboat  and  steamship  companies. 

The  property  and  franchises  of  these  companies  were  assessed  for  the 
year  ending  June  30,  1913,  including  certain  small  clerical  fees,  etc.,  in 
the  sum  of  $1,614,733.65  or  more  than  one-fifth  of  the  entire  revenue 
received  by  the  State  from  all  sources  for  that  year.  They  are,  there- 
fore, important  subjects  of  taxation  and  deserve  special  consideration  in 
any  discussion  of  our  system  of  taxation. 

Railroads  and  Canals. 

As  has  been  stated,  the  method  for  the  taxation  of  railroad  and  canal 
companies  now  in  effect  in  Virginia  was  prescribed  by  our  last  constitu- 
tional convention,  and  was  made  a  part  of  the  Constitution,  with  the  pro- 
viso that  it  should  remain  in  force  until  January  1,  1913,  and  thereafter 
until  modified  or  changed  by  the  General  Assembly. 

It  is  believed,  as  will  be  hereafter  pointed  out,  that  this  system  has 
defects  which  should  be  remedied,  but  in  the  main  it  has  worked  well, 
the  defects  being  rather  in  the  law  itself  than  in  its  administration. 

The  law  requires  that  the  Corporation  Commission  shall  annually 
ascertain  and  assess  the  value  of  the  roadbed  and  other  real  estate,  rolling 
stock  and  all  other  personal  property  (except  the  franchises  and  the 
non-taxable  shares  of  stock  issued  by  other  corporations)  in  this  State 
of  each  railway  corporation,  which  shall  be  taxed  for  State,  county, 
city,  town  and  district  purposes,  at  such  rates  of  taxation  as  may  be  im- 
posed by  them  respectively,  upon  the  real  estate  and  personal  property 
of  natural  persons,  provided  that  no  tax  shall  be  laid  on  the  net  income 
of  such  corporations. 


Chapter  IV — Public  Service  Corporations.  129 

In  addition  thereto  each  company  is  required  to  pay  an  annual  State 
franchise  tax  equal  to  one  per  centum  of  its  gross  transportation  receipts, 
to  be  ascertained,  in  the  case  of  interstate  roads,  by  multiplying  the 
average  gross  receipts  per  mile  for  the  entire  system  by  the  number  of 
miles  operated  in  Virginia. 

This  dual  system  of  assessment  for  State  revenue  has  been  largely 
responsible  for  the  popular  opinion  in  Virginia  that  railroads  are  under 
assessed,  and  do  not  bear  their  just  burden  of  taxation.  By  reason  of 
the  gross  earnings  tax  imposed  on  railway  companies  for  State  revenue 
alone,  which  was  fixed  by  the  Constitution  as  a  basis  of  taxation  of  the 
franchise  value  of  their  properties,  it  could  not  be  justly  expected  that 
the  physical  properties  of  such  companies  should  be  assessed  at  their 
full  fair  market  value  as  a  going  concern.  Such  a  valuation  would  neces- 
sarily include  the  franchise  value  already  taxed  and  would  be  double 
taxation.  This  last  named  assessment,  however,  is  all  that  usually  comes 
to  the  attention  of  the  public.  It  is  required  to  be  certified  to  the  taxing 
authorities  of  each  community,  and  thus  becomes  a  matter  of  common 
knowledge.  But  this  is  only  a  part  of  the  assessment  on  which  railroads 
pay  taxes  to  the  State.  The  gross  receiuts  or  franchise  tax,  which  the 
State  receives  in  addition,  exceeds  that  paid  to  th*»  State  on  the  real 
and  personal  property  assessment.  In  the  year  1914,  based  on  the  assess- 
ment of  1913,  the  State  tax  paid  by  railroads  on  the  property  assess- 
ments was  in  round  numbers  $402,000.00,  while  the  additional  tax  paid 
on  "TOSS  receipts  amounted  to  $629,000.00,  making  a  total  State  revenue 
of  $1,031,000.00.  The  assessment  against  the  railroads  on  their  gross 
receipts  appears  only  in  the  Auditor's  Report,  and  the  report  of  the  State 
Corporation  Commission,  which  are  seen  by  comparatively  few  citizens 
of  the  State.  It  is  but  natural,  therefore,  that  the  public  should  have 
the  impression  that  the  roads  pay  taxes  only  on  the  property  assessments 
certified  to  the  local  communities.  We  have  prepared  a  table,  which  will 
be  found  elsewhere,  to  show  the  total  value  of  railway  property  as- 
sessed for  taxati'on  in  1912.  To  ascertain  this  total  we  capitalize  the 
gross  receipts  tax  at  $1.495,  which  is  the  average  rate  on  real  estate; 
and  we  add  the  amount  thus  given  to  the  assessed  value  of  the  physical 
property  of  the  roads. 

in  1902,  the  last  year  in  which  railroads  were  assessed  under  the  old 
system,  the  entire  assessed  value  of  steam  roads  in  Virginia  was 
$60,810,317.89,  and  the  total  State  taxes  paid  for  that  year  were  $276,- 
329.33.  For  the  year  ending  June  30,  1913,  the  assessed  value  of  these 
properties  was  $114,814,012.00,  and  the  total  State  taxes  paid  amounted 
to  $1,031,177.39,  showing  an  increase  in  eleven  years  of  88.8  per  cent,  on 
assessed  valuation  and  272  per  cent,  in  taxes  paid.  The  increase  in  valua- 
tion, however,  is  due  in  a  considerable  measure  to  the  construction  of 
new  lines  of  road  in  the  State,  and  to  the  acquirement  of  additional  and 
more  costly  equipment  by  all  the  roads. 

The  disproportionate  increase  in  revenue  over  the  increase  in  assess- 
ments is  due  largely  to  the  imposition  of  the  tax  on  gross  receipts. 

Perhaps  a  better  method,  out  still  not  altogether  a  satisfactory  one, 
of  determining  whether  we  are  receiving  just  revenue  returns  from  this 
class  of  property  would  be  to  compare  the  taxes  paid  in  Virginia  by  the 


130  Report  of  Committee  on  Tax  Revision. 

interstate  roads,  with  those  paid  in  other  States  through  which  the  same 
roads  run. 

For  the  year  1913,  we  make  the  following  comparisons : 

Atlantic  Coast  Line: 

Traverses  Virginia,  North  Carolina,  South  Carolina, 
Georgia,  Alabama  and  Florida. 

Total  taxes  paid  on  entire  system $1,384,665.32 

Total  mileage  (single  track),  4,617 

Average  taxes  paid  per  mile  entire  system 299.90 

Total  taxes  paid  in  Virginia 72,029 .53 

Mileage  in  Virginia  (single  tiack),  141 

Taxes  paid  per  mile  in  Virginia 510 . 00 

Seaboard  Air  Line: 

Traverses  Virginia,  North  Carolina,  South  Carolina, 
Georgia,  Alabama  and  Florida. 

Total  taxes  paid  on  entire  system $    934,345.01 

Total  mileage  (single  track),  3,016. 

Average  taxes  paid  per  mile  entire  system 309.00 

Total  taxes  paid  in  Virginia 87,628.76 

Mileage  in  Virginia  (single  track),  157.50. 

Taxes  paid  per  mile  in  Virginia 556 . 00 

Southern  Railway: 

Traverses  Virginia,  North  Carolina,  South  Carolina, 
Georgia,  Alabama,  Florida,  Mississippi,  Tennes- 
see, Indiana,  Kentucky  and  Illinois. 

Total  taxes  paid  entire  system $2,239,756.27 

Total  mileage  (single  track),  6562.24. 

Average  taxes  paid  per  mile  entire  system 365.00 

Total  taxes  paid  in  Virginia 344,628.01 

Mileage  in  Virginia   (single  track),  904.86. 

Taxes  paid  per  mile  in  Virginia 381 . 00 

Norfolk  and  Western: 

Traverses  Virginia,  West  Virginia,  Ohio,  Maryland 
and  North  Carolina. 

Total  taxes  paid  entire  system $1,359,758 . 18 

Total  mileage  (single  track),  2034.78. 

Average  taxes  paid  per  mile  entire  system 668.00 

Taxes  paid  in  Virginia 784,844.47 

Mileage  in  Virginia  (single  track),  1164. 

Taxes  paid  per  mile  in  Virginia 674. 00 

Chesapeake  and  Ohio: 

Traverses  Virginia,  West  Virginia,  Kentucky,  Ohio 
and  Indiana. 

Total  taxes  paid $1,302,644.04 

Total  mileage  (single  track),  2388 


Chapter  IV — Public  Service  Corporations.  131 

Average  taxes  paid  per  mile  entire  system $  557.00 

Taxes  paid  in  Virginia 485,000 . 00 

Mileage  in  Virginia  (single  track),  782. 

Taxes  paid  per  mile  in  Virginia 620 . 00 

This  comparison  while  instructive  is  not,  as  we  have  already  stated, 
entirely  satisfactory.  Our  investigations,  the  result  of  which  are  set 
out  in  a  number  of  tables  exhibited  with  this  report,  show  that  as  a 
rule,  and  particularly  with  reference  to  the  North  and  South  lines,  the 
earning  capacity  of  the  interstate  roads  in  Virginia  is  greater  than  that 
in  the  other  States  through  which  they  run,  and  therefore  the  Virginia 
property  is  more  valuable  and  should  be  subject  to  a  higher  assessment. 
As  an  example,  only  3.05  per  cent,  of  the  mileage  of  the  Atlantic  Coast 
Line  is  in  Virginia,  yet  this  road  derives  8.63  per  cent,  of  its  net  receipts 
and  8.25  per  cent,  of  its  gross  receipts  from  business  touching  this 
State.  The  Seaboard  Air  Line  has  4.12  per  cent,  of  its  mileage  in  Vir- 
ginia, and  receives  10.04  per  cent,  of  its  net  earnings  and  9.22  per  cent, 
of  its  gross  earnings  here.  Similar  results  are  shown  by  the  Southern 
and  Chesapeake  and  Ohio. 

The  Norfolk  and  Western,  however,  shows  a  different  result;  58.30 
per  cent,  of  its  mileage  is  in  Virginia,  and  50.25  per  cent,  of  its  net 
earnings  and  49.70  per  cent,  of  its  gross  earnings  are  derived  here. 

The  Virginian  also  has  its  most  profitable  territory  outside  of  this 
State. 

The  last  report  of  the  Interstate  Commerce  Commission  available  to 
us  shows  that  in  the  United  States  the  average  tax  paid  per  mile  by  all 
railroads  engaged  in  interstate  commerce  for  the  year  1911  was  $444.00. 
In  Virginia  the  average  per  mile  for  that  year  was  $488.00. 

Railroad  Taxes  Compared  With  Taxes  on  Real  Estate. 

Real  estate  is  all  pervading  and  constitutes  a  very  important,  if  not 
the  most  prominent,  subject  of  taxation  in  every  locality  where  a  general 
property  tax  obtains.  It  is,  therefore,  usually  used  as  the  base  or  meas- 
ure of  taxation  for  other  subjects.  In  applying  this  measure  to  railroads, 
it  is  necessary  to  ascertain,  as  nearly  as  can  be  done,  the  true  value  of 
each  of  these  classes  of  property,  and  then  compare  the  respective  rates 
of  taxation  paid  on  sucn  true  valuation.  It  is  very  difficult  in  either 
event  to  determine  what  is  the  true  valuation  and  no  infallible  rule  can 
be  applied  for  the  purpose.  In  the  case  of  real  estate,  as  will  appear 
from  our  previous  chapter  on  "Tlie  Taxation  of  Real  Estate  in  Virginia,"' 
a  comparison  of  the  sales  value  of  real  properties  sold  in  the  several  coun- 
ties and  ciii^s  of  the  State  for  a  .dven  year  (1913),  was  made  with  the 
assessed  values  of  the  same  properties  for  that  year  for  the  purpose  of 
estimating  the  true  value,  and  on  this  basis  it  was  ascertained  that  the 
rate  of  taxation  for  all  purposes,  State  and  local,  paid  on  real  estate 
for  the  year  1913  was  57.7  cents  on  each  $100.00  of  true  value,  and  that 
the  average  assessment  of  real  estate  in  the  counties  and  cities  of  the 
State  is  40.2  per  cent,  of  its  true  or  "fair  market  value."  This  method, 
while  in  many  respects  imperfect,  was  considered  the  best  and  most 
practicable  which  could  be  adopted. 


132  Report  of  Committee  on  Tax  Revision. 

In  the  case  of  railroads,  the  task  is  even  more  difficult,  owing  to  the 
conditions  and  contingences  which  peculiarly  affect  this  class  of  property, 
and  to  the  many  and  varied  standards  which  have  been  suggested  in  the 
different  taxing  communities  for  fixing  values.  For  the  purpose  of  this 
comparison,  however,  we  have  adopted  what  is  known  as  the  "Stock  and 
Bond  Valuation,"  believing  that  it  more  nearly  approximates  the  com- 
mercial or  fair  market  value  of  the  property  than  any  other  single 
method  of  valuation.  The  computation  of  this  valuation  is  made  for 
the  year  1913 — the  same  year  for  which  real  estate  values  were  estimated. 

In  making  this  valuation  in  some  instances,  companies  which  as  a 
matter  of  corporate  organization  are  separate,  are  combined,  notably  the 
Richmond,  Fredericksburg  &  Potomac,  the  Washington  Southern  and 
the  Petersburg  Connection,  which  for  all  practical  purposes  constitute 
one  line  and  are  designated  as  Washington  lines. 

The  value  of  the  stock  and  bonds,  including  "Equipment  Trust 
Obligations"  of  the  larger  companies,  outstanding  in  the  hands  of  the 
public,  is  computed  from  the  sales  actually  consummated  on  the  New 
York  Stock  Exchange  during  the  year,  the  ratio  of  sale  to  par  value 
being  computed  for  the  year  and  divided  into  the  total  par  \alue  for 
the  computation  of  the  total  true  value.  This  is  done  for  each  separate 
issue  of  bonds  and  class  of  stock;  the  summation  of  the  results  so  se- 
cured producing  the  total  true  value  from  stocks  and  bonds  of  the  entire 
system.  From  this  total  value  there  is  assigned  to  Virginia  a  proportion 
based  on  the  ratio  of  net  earnings  in  the  State  to  total  net  earnings  of 
the  system. 

The  stock  and  bond  valuation  of  the  smaller  and  intrastate  roads 
is  made  up  largely  from  estimates  derived  from  an  examination  of 
balance  sheets  and  income  accounts  as  sales  of  such  securities  are  rarely 
made  on  the  stock  exchange. 

The  total  valuation  of  the  larger  interstate  roads  in  Virginia  on  this 
basis  is  $357,333,700.00,  and  the  revenue  which  would  be  derived  on 
this  valuation  at  the  average  rate  now  paid  on  estimated  true  valuation 
of  real  estate,  or  fifty-seven  and  seven-tenths  cents  on  each  $100.00, 
amounts  to  $2,061,815.44  as  against  $2,227,026.15  actually  received  from 
the  same  roads  for  the  year  ending  June  30,  1913.  The  average  rate  paid 
on  this  estimated  true  value  for  the  year  was  62.3  cents  on  each  $100.00. 

Tables  showing  the  total  revenue  which  would  have  been  received 
on  this  valuation  from  each  road  at  the  average  rate  paid  on  estimated 
true  value  of  real  estate  and  the  respective  gains  and  losses  as  compared 
with  the  revenue  actually  received  are  filed  herewith,  marked  table  10 
and  table  11. 

From  table  10  it  will  appear  that  the  taxes  of  three  interstate  roads, 
the  A.  C.  L.,  the  C.  C.  &  0.,  and  the  Washington  lines  would  be  materially 
increased,  while  all  other  interstate  roads  would  pay  less.  The  R.  F.  &  P. 
was  not  taxable  under  i'ts  charter  held  until  1913,  and  this  fact  must 
be  borne  in  mind  in  the  interpretation  of  these  tables.  In  1914  the 
Washington  lines  paid  $136,169.49  in  total  taxes  against  $90,764.05  for 
1913.  The  1914  tax  amounts  to  62.4  cents  on  the  $100.00  of  valuation. 
The  intrastate  roads,  as  shown  by  table  11,  would  pay  materially  less, 


Chapter  IV — Public  Service  Corporations.  133 

as  they  now  pay  at  a  rate  of  about  $1.00  on  each  $100.00  of  estimated 
true  value. 

From  these  investigations  and  comparisons  it  would  seem  that  the 
railroads  as  a  whole  are  paying  their  just  .share  of  taxation  in  Virginia, 
measured  by  the  real  estate  standard.  It  must  be  taken  into  considera- 
tion, however,  that  the  average  rate  used  would  not  produce  the  same 
results  as  would  the  rates  of  the  localities  plus  a  State  rate  readjusted 
on  a  full  value  basis.  On  the  larger  roads  traversing  a  number  of 
localities,  however,  the  difference  would  not  be  material. 

It  must  also  be  taken  into  consideration  that  many  railroads,  by  reason 
of  strategic  position,  favorable  connections,  rich  freight  producing  terri- 
tory, and  other  like  advantages  have  an  added  value  which  cannot  be 
fixed  by  any  ordinary  standard  of  valuation,  but  which  is  a  proper  sub- 
ject of  taxation  and  should  be  considered.  This  is  peculiarly  true  of 
the  larger  interstate  roads  in  Virginia,  whjch  connect  by  the  most  direct 
and  natural  lines  of  communication  the  rich  freight  producing  sections 
of  the  south  and  west  with  the  great  markets  and  ports  of  the  north 
and  east.  It  may  be  said  that  Virginia  is  the  funnel  through  which 
all  the  northbound  business  of  the  south  is  poured  into  the  Atlantic 
Seaboard,  and  which  conversely  collects  the  southbound  business  for 
distribution  to  the  entire  south  lying  east  of  the  Mississippi. 

Under  present  conditions,  if  we  assess  the  property  of  railroads  at 
its  full  value  and  burden  it  with  the  full  State  and  local  rates  of  taxa- 
tion, while  real  estate  is  assessed  at  little  more  than  one  third  of  true 
value,  it  would, be  a  hardship  which  no  reasonable  man  would  ask  to  be 
imposed;  but  should  the  assessment  on  real  estate  be  increased  to  comply 
with  our  constitutional  and  statutory  requirements,  the  valuation  of 
railroads  should  be  correspondingly  increased  so  as  to  contribute  their 
legitimate  share  of  State  and  local  revenues. 

Defects  in  the  Present  Law. 

We  have  stated  that  in  our  opinion  the  law  now  governing  the  as- 
sessment of  railroads  in  Virginia  has  defects  which  should  be  remedied. 
The  law  provides  for  a  dual  assessment: 

1.  On  the  real  and  personal  property  at  a  value  to  be  ascertained  by 
the  State  Corporation  Commission  from  the  reports  made  by  the  com- 
panies and  upon  the  best  and  most  reliable  information  that  can  be 
procured.    On  this  assessment  a  tax  is  levied  at  the  full  State  and  local 
rates,  the  State  revenue  to  be  paid  direct  into  the  State  .treasury,  and 
the  local  revenue  to  the  localities. 

2.  A  franchise  tax  equal  to  one  per  centum  of  the  gross  transporta- 
tion receipts,  to  be  ascertained  in  case  of  interstate  roads  by  multiplying 
the  average  gross  receipts  per  mile  over  the  entire  system  by  the  number 
of  miles  operated  within  this  State.      This  revenue  is  paid  direct  to 
the  State. 

When  this  law  was  enacted  imposing  a  franchise  tax  on  the  railroads, 
including  those  engaged  in  interstate  commerce,  measured  by  a  per 
centum  of  the  gross  receipts,  it  was  believed  that  under  the  authority  of 
Maine  7'.  Grand  Trunk  Railway,  142  U.  S.,  217,  it  was  free  from  the 


134  Report  of  Committee  on  Tax  Revision. 

objection  of  being  an  attempt  to  regulate  commerce  among  the  States. 
Since  that  time,  however,  a  Texas  statute  quite  similar  in  its  terms  was 
held  invalid  by  the  Supreme  Court  of  the  United  States  as  in  violation 
of  the  commerce  clause  of  the  Federal  Constitution — Galveston  Railway 
Company  v.  Texas,  210  U.  S.,  217 — and  quite  recently  the  same  court  in 
the  discussion  and  decision  of  the  Ohio  Tax  Case,  232  U.  S.,  576,  lends 
additional  doubt  to  the  validity  of  our  law.  In  the  Galveston  case, 
however,  it  is  made  plain  by  the  court  that  the  same  object  sought  to 
be  obtained  by  the  imposition  of  the  gross  receipts  tax  as  a  tax  upon 
the  franchise  of  the  corporations  can  be  obtained  by  taxing  the  property 
at  its  value  "as  it  is"  "in  its  organic  relations,"  taking  into  account  the 
augmentation  of  value  from  the  commerce  in  which  it  is  engaged;  in 
other  words,  it  may  be  taxed  at  its  actual  value  as  "a  going  concern." 

In  view  of  the 'large  proportion  of  revenue  paid  to  the  State  on  the 
gross  receipts  or  franchise  tax  it  would  be  inequitable  and  unjust  to  the 
roads  for  the  assessing  power  to  value  the  physical  properties  at  their 
true  or  market  value,  or  to  follow  any  of  the  recognized  standards  for 
fixing  such  values.  The  gross  receipts  tax  for  the  year  1913  was  59.25 
per  cent,  of  the  entire  revenue  paid  to  the  State  by  the  roads,  and  in 
1914  the  percentage  was  61.  For  1915  it  is  59.2  per  cent.  The  Cor- 
poration Commission  has  adopted  the  plan,  which  under  the  present 
law  is  perhaps  the  most  equitable  they  could  devise,  of  classifying  the 
roads  according  to  standards  of  value  and  assessing  each  class  at  the 
same  rate  per  mile.  This  plan,  as  we  have  seen,  in  its  general  results 
works  fairly  satisfactorily  from  a  revenue  basis,  but  it  is  inevitable  that 
it  should  lead  to'  inequalities  as  between  the  different  roads. 

All  the  roads  pay  a  uniform  rate  of  one  per  centum  on  their  gross 
receipts  in  the  State,  but  when  the  ad  valorem  tax  is  added  to  the  gross 
receipts  tax  we  find  that  the  percentage  of  the  entire  tax  to  the  gross 
receipts  varies  materially.  See  table  7  filed  with  this  report. 

The  Franchise  or  Gross  Receipts  Tax. 

This  tax  is  levied  on  the  basis  of  the  average  gross  receipts  per  mile 
for  transportation  on  the  entire  system,  and  not  on  the  actual  receipts 
earned  in  business  touching  Virginia.  This  is  an  unfortunate  basis. 
It  gives  the  same  credit  to  that  portion  of  the  track  crossing  unpro- 
ductive territory  that  it  gives  to  the  most  productive  portion  of  the  line, 
and  is  unfavorable  to  a  state  producing  more  than  an  average  revenue 
for  the  system.  It  is  peculiarly  unfavorable  to  Virginia,  as  has  already 
been  pointed  out.  It  is  unjust  to  the  state  on  those  roads  whose  earnings 
per  mile  are  larger  in  Virginia  than  are  the  average  earnings  of  the 
system,  and  unjust  to  the  roads  whose  earnings  in  the  State  are  less 
than  the  system  average. 

From  an  examination  of  the  operating  reports  of  all  the  interstate 
roads  traversing  Virginia  we  find  that  16.05  7)er  cent,  of  their  main 
lines  (pirtcrle  track)  is  in  this  State,  from  which  they  derive  21.42  per 
cent,  of  their  sross  earnings,  and  24.30  per  cent,  of  their  net  earnings. 

A  table  (No.  6)  is  filed  with  thi<*  report,  showing  the  percentage 
of  main  line  in  Virginia  of  each  of  the  interstate  roads  and  the  per- 


Chapter  IV — Public  Service  Corporations.  135 

centage  of  the  total  gross  receipts  earned  by  each  on  the  Virginia  mileage. 
Should  the  present  law  be  retained,  we  strongly  recommend  that  it 
be  so  amended  as  to  require  the  franchise  tax  to  be  paid  on  the  basis 
of  the  gross  receipts  actually  eained  in  Virginia  on  the  traffic  touching 
the  State.  This  would  perceptibly  increase  the  revenue  of  the  State, 
as  will  appear  from  the  following  table,  which  shows  that  on  the  mileage 
basis  of  distribution  the  gross  earnings  of  the  interstate  roads  in  Vir- 
ginia for  the  year  ending  June  30,  1913,  were  $61,514,239.00,  and  that 
the  actual  earnings  apportioned  to  the  State  amounted  to  $62,764,- 
106.00,  or  an  excess  of  $1,249,867.00.  on  which  the  State  receives  no 
revenue. 


136 


Report  of  Committee  on  Tax  Revision. 


i 

PM 


3 


w 

H 


« 
& 


ow 
M 


H 
O 


O 

}Z5 
O 


O 
O 


DIFFERENCES 

Excess  Mileage 
Pro-rate 



I  i    3    3    3    32      Ms 

o 

CO 

j  a       s  8|    j  p 

CO    ^ 

II 

p||  g  !  |  lip  |p 

$  4,960,427 

Gross  Earn- 
ings, Actual 
as  reported 

CO 

CO 
O 

i 

s 

oo^SSooSSSSSK^S^Sg 

of              <M~ 

COI^CO«0<OfOCOCSOOCO 

(N 

Gross  Earn- 
ings, Mileage 
Pro-rate 

e 

CO 

o: 
c: 

M 

1 

lOCOrtCO        "*OOCO«OO  (M^I^O?  OO  O 

:  :  : 

1 

•    •    •  d 

« 
^t 

H 
rf 
f 

.s 

"c 

c 

4 

>  :  :5 

'  I      I      '.      '. 

•  a  t< 

3  ;  ;! 

j|j 

tf  :  :* 

:  :  :  : 

•§  :^-g 

03  •'3^' 

:  :  :  : 

Southern  (Including  Atl.  &  Danville,  F.  &  P. 
Virginia  &  Southwestern  
Virginian  (Including  one-half  Norfolk  Terrain 
Washington  Lines  (R.  F.  &  P.,  Wash.  So.,  anc 
Winchester  &  Potomac  

i  0=8 

.... 

:^M 

Big  Sandy  &  Cumberland  
Carolina,  Clinchfield  &  Ohio  
Chesapeake  &  Ohio  
Cumberland  Valley  &  Martinsburg.  . 

Dun  villa  &  Wpstprn 

Delaware,  Maryland  &  Virginia  

Louisville  &  Nashville  
New  York,  Philadelphia  &  Norfolk.  .  . 
Norfolk  Southern  (Including  one-hall 
Norfolk  &  Western  (Including  N.  R.  1 

ftp.fl.hnn  rri  Air  I,inp. 

Chapter  IV — Public  Service  Corporations.  137 

This  would  necessitate  on  the  part  of  some  of  the  roads  a  more 
accurate  apportionment  of  their  earnings  with  reference  to  State  lines, 
but,  with  the  system  of  book-keeping  now  in  vogue  under  .the  require- 
ments made  by  the  classifications  prescribed  by  the  Interstate  Commerce 
Commission,  it  is  believed  that  this  could  be  done  with  fair  accuracy 
without  hardship. 

Indeed,  a  theoretically  perfect  system  for  such  apportionment,  known 
as  the  "point  to  point"  system,  is  now  used  by  some  of  the  roads  in 
Virginia.  This  system  involves  the  summation  of  all  business  between 
each  pair  of  points  on  the  entire  system,  and  the  apportionment  to 
States  by  the  fixed  percentage  of  main  track  miles  where  these  two 
points  4ie  across  State  lines.  It  has  been  found  to  be  practicable  and 
would  give  to  each  State  a  fairly  accurate  apportionment  of  the  business 
actually  done,  and  the  revenue  actually  earned  within  its  territory. 

Change  in  Method  of  Assessment. 

In  view  of  the  foregoing  objections  to  the  present  method  of  assess- 
ing this  class  of  property,  and  especially  in  view  of  the  doubtful  validity 
of  the  present  law,  we  have  thought  it  best  to  recommend  a  new  system, 
and  have  prepared  and  present  a  bill  for  that  purpose. 

The  bill  provides  for  an  ad  valorem  assessment  of  all  the  property 
of  railroad  and  canal  corporations  by  a  central  authority,  either  the 
State  Corporation  Commission  or  the  State  Tax  Commission.,  should  such 
a  commission  be  created  by  the  General  Assembly,  believing  that  in  any 
event  the  property  of  all  public  service  corporations  should  be  taxed  as  a 
unit  by  a  State  taxing  authority  as  the  only  method  by  which  uniformity 
in  assessment  can  be  secured. 

We  have  considered  the  various  methods  in  use  for  fixing  the  value 
of  properties  in  making  the  assessment,  such  as  cost  of  construction, 
capitalization  of  net  earnings,  stock  and  bond  valuation,  etc.,  but,  recog- 
nizing that  there  are  valid  objections  to  each  of  them  as  a  single  standard 
and  that  all  are  useful  in  determining  a  true  valuation,  we  nave  prescribed 
none,  but  require  the  different  corporations  to  make  such  reports  to  the 
assessing  power  that  full  and  complete  information  shall  be  at  hand  to 
make  a  just  and  equitable  assessment  without  being  hampered  or  tied 
by  any  prescribed  rule  which  might  work  an  injustice  to  the  State  or  to 
any  individual  corporation. 

The  assessment  is  to  be  made  and  apportioned  between  the  communi- 
ties where  the  property  is  located  according  to  the  value  of  such  property 
in  each  locality,  and  report  made  to  the  Auditor  of  Public  Accounts  and 
to  the  boards  of  supervisors  and  city  and  town  councils.  The  Auditor 
extends  the  taxes  at. the  local  rates  levied  in  each  community  on  the 
assessment  as  apportioned  and  collects  the  entire  tax  from  the  corpora- 
tion and  pays  it  into  the  State  treasury,  where  45  per  cent,  of  the  amount 
is  retained  for  State  purposes,  the  remainder,  55  per  cent,  is  paid  to  the 
localities  by  warrants  drawn  by  the  Auditor  in  favor  of  the  various 
local  treasurers. 

In  fixing  the  percentage  for  apportionment  between  the  State  and 
the  localities  it  is  necessary  that  the  State  should  have  a  larger  percent- 


138  Report  of  Committee  on  Tax  Revision. 

age  of  the  revenue  than  is  paid  by  other  classes  of  property  assessed 
for  State  and  local  purposes.  The  State  now  receives  from  this  source, 
not  only  the  thirty-five  cent  rate  on  the  physical  valuation  of  the  prop- 
erties, but,  in  addition  thereto,  a  larger  sum  arising  from  the  franchise 
tax.  The  revenue  received  by  the  State  for  the  year  1913  was  41.3  per 
cent,  of  the  total  revenue  paid  by  railway  and  canal  corporations. 

In  the  scheme  providing  for  partial  segregation  of  subjects  for  State 
and  local  revenues  which  we  submit  in  our  report  it  is  contemplated 
that  the  State  shall  receive  in  addition  to  the  amount  it  now  receives 
from  the  franchise  tax,  the  entire  tax  on  the  rolling  stock  of  railroad 
corporations  within  the  State.  This  would  amount  to  a  little  more  than 
the  present  State  revenue  on  the  property  valuation.  We  have,  therefore, 
fixed  the  percentage  named  for  the  State  on  the  assumption  that  the 
total  revenue  under  the  proposed  bill,  if  adopted,  would  at  least  equal 
the  revenue  now  received  from  this  source,  and  that  while  the  State 
would  receive  something  more  than  it  now  receives,  yet,  by  reason  of  the 
fact  that  the  bill  provides  that  the  assessment  of  rolling  stock  shall  be 
apportioned  on  a  mileage  basis  to  all  the  communities  through  which 
the  lines  of  road  run,  the  communities  other  than  those  cities  which  have 
heretofore  received  the  tax  on  rolling  stock  will  not  receive  less  revenue 
than  they  have  heretofore  enjoyed.  These  communities  will  receive  the 
benefit  of  the  increased  property  valuation  sufficient  to  raise  the  present 
franchise  tax,  which  would  be  an  increase  of  about  34.4  per  cent,  on 
present  valuation,  and  they  also  share  pro  rata  in  the  assessment  of 
the  rolling  stock. 

As  has  been  shown,  the  present  State  revenue  is  about  41.3  per  cent, 
of  the  total  revenue,  State  and  local,  received  from  this  source.  Under 
the  segregation  plan  the  prpposal  to  release  to  the  communities  the 
present  State  property  tax  on  railroads,  and  to  give'  to  the  State  in 
lieu  thereof  the  total  tax  on  rolling  stock,  the  State  would  receive  44.5 
per  cent,  of  the  total  taxes  paid. 

The  cities  mentioned  cannot  complain  because  they  have  already  lost 
the  rolling  stock  tax,  and  there  is  no  probability  that  any  future  legis- 
lature will  restore  it  to  them.  Indeed,  under  the  percentage  distribution 
provided  in  the  proposed  bill,  they  will  fare  better  than  under  the  pres- 
ent law.  It  will  also,  to  some  extent,  benefit  those  communities  which 
have  no  railroad  mileage,  but  which  contribute  to  the  business  which 
yields  revenue  to  the  roads. 

The  principal  advantage  of  the  proposed  bill  over  the  present  law. 
however,  is  that  it  will  enable  the  taxing  power  to  equalize  the  tax  burden 
between  the  different  roads.  Under  the  present  law,  inequalities  neces- 
sarily exist,  as  is  shown  by  the  tables  filed  with  this  report.  In  fact, 
the  inequalities  are  almost  as  great  as  on  real  estate.  Under  the  bill 
proposed,  if  any  one  standard  of  valuation  would  be  unjust  or  onerous 
on  a  given  road,  the  correction  can  be  made  and  the  value  fixed  by  ap- 
plying different  standards  and  accepting  that  valuation  which  would 
be  most  equitable  and  which  would  equalize  it  with  other  roads  differently 
situated. 

We  believe  that  under  an  ad  valorem  system  administered  by  a  com- 
petent board  untrammeled  by  any  single  prescribed  standard  or  rule,  it 
is  easier  to  establish  justice  in  taxation  than  under  any  other  method. 


Chapter  IV — Public  Service  Corporations.  139 

We  must  be  made  to  realize  that  it  is  not  only  desirable  but  possible 
to  establish  justice  and  equality  in  taxation,  and  that  until  this  is 
accomplished  the  demand  for  tax  reform  will  necessarily  continue. 

We  cannot,  however,  expect  this  reform  to  be  confined  to  any  par- 
ticular class  of  property — it  must  be  general  to  accomplish  its  just  pur- 
poses. We  should  not  demand  or  expect  that  railroad  property  be  as- 
sessed at  its  full  and  actual  value  and  bear  the  same  tax  rate  as  other 
classes  of  property  assessed  at  one-third  or  one-half  their  value. 

Mr.  Allen  Ripley  Foote,  in  an  address  before  the  National  Tax  Asso- 
ciation, of  which  he  was  the  President  in  1911,  said : 

"Under  the  ad  valorem  system,  the  total  valuation  and  the  total 
amount  of  revenue  required  determine  the  tax  rate.  The  valuation  of 
his  property  and  the  tax  rate  determine  the  amount  each  tax  payer 
must  pay  .  When  all  property  is  listed  for  taxation  at  full  value,  the 
tax  rate,  all  other  conditions  remaining  unchanged,  will  be  as  low  as 
can  be  made.  The  only  thing  gained  by  undervaluation  is  an  extra 
computation  and  a  higher  tax  rate. 

The  just  ad  valorem  taxation  of  railroads  requires  the  just  ad  valorem 
taxation  of  all  property.  The  requirements  of  laws,  the  corrections  of 
rules,  and  the  efficiency  of  the  administrative  machinery  must  be  identical 
for  all  classes  of  tax  payers.  To  secure  justice  in  taxation  for  themselves, 
the  whole  body  of  tax  payers  and  railroad  tax  payers  as  a  class,  must 
co-operate  with  each  other  to  develop,  establish  and  maintain  a  just 
system  of  valuations  for  the  purposes  of  taxation." 

Under  our  present  law,  we  do  not  believe  that  the  railroad  companies 
in^the  State  are  paying  on  a  full  valuation  of  their  properties,  but,  as 
compared  with  the  assessed  values  of  other  classes  of  property  in  the 
State,  it  is  our  opinion  these  companies  as  a  whole  are  contributing  a 
fair  share  to  the  public  revenues.  Some  of  them,  largely  due  to  the 
provisions  of  our  present  law,  are  not  paying  their  due  proportion  or  such 
proportion  as  they  would  pay  under  an  ad  valorem  basis  properly  admin- 
istered. We  believe  the  bill  proposed  would  enable  the  Corporation  Com- 
mission, or  other  assessing  body,  to  remedy  all  such  inequalities  as  they 
may  find  to  exist. 

Under  the  system  of  segregation  which  we  are  required  to  report 
under  the  act  creating  this  Committee,  we  considered  the  revenues  de- 
rived from  railroads  and  public  service  corporations  to  be  natural  sub- 
jects of  segregation  to  the  State,  but  our  investigations  showed  that  in 
a  number  of  counties  where  the  revenues  received  from  this  source 
were  considerable,  large  bond  issues  for  the  construction  of  roads  and 
other  purposes  had  been  voted,  relying  upon  this  revenue  to  support 
them,  and  that  it  would  work  a  hardship  in  such  instances  to  deprive 
the  communities  of  this  source  of  revenue.  The  construction  of  good 
roads  and  public  improvements  naturally  inures  to  the  benefit  of  the 
railroads  and  it  is  claimed  with  considerable  force  that  they  should  con- 
tribute to  the  communities  a  just  share  of  the  additional  burdens  of 
taxation  made  necessary  by  reason  of  such  improvements.  We  there- 
fore recommend  that  the  communities  retain  practically  the  revenues 
they  now  receive  from  this  source  and  the  accompanying  bill  is  drawn 
with  that  view. 


140 


Report  of  Committee  on  Tax  Revision,. 


TABLE 


^ 


ow 

I 

^ 


Q 

1 

o£ 

^O 


1C  '-  «  05  JS  O  I 
•->  O  O  <N  CO  O  . 
Cj  _H  10  — <^  -H  O 
00  ^C5 


- 


Chapter  IV — Public  Service  Corporations. 


141 


II 


o  s  § 

5?  °  3 

H  H  * 

^  H  g 

^  2  s 

H  £  5, 


S  s 

ij? 

OQ  W 

Q  « 

^  GQ 

O  H 

«  5 

^  ^ 


CO  CO  *— »OOCOC^OSCO»-HO3i— »  CO  t-^ 

"*f  *— '  CO  O  C3  •*!*         CO  **  O  CO  OO  TH~OS  CO  OC  OG 

OO  '"'  CO  «0  *""'  .-I  i-H  COrt  CC_COO-_<N  C01O 


r-!COOOq5C 


CO 
01 


rtO>-*»0- 


<M      rt  oo  eot~-      eq  r-i 


<M  t>> 


r-t  <M  OS  r-t  CO  " 


'-icco>'<*croooiooiot^i 

U5  CO  CO        OO  t^  CO  O  CO  CO  ( 


'  • 

•  fl 

1 

•  to 
^ 

S 

:j 
:| 

;_C 

^ 

tf 

:*) 

•h 

^ 

-o 

^ 

:=3 

^ 

fc 

<^ 

Is 

!l 

•« 

w 

fe 
• 

H,g 

Sn 

c 

•si 
1? 

fe 

c 

t 

c 

«fe 

'  : 

i!  rt 
:'E 
] 
':> 
< 

•T 

: 

: 
i  ; 

:j 

!  ^ 

Iphia  &  Norfolk 
Including  one-h{ 

tf 

5? 

.S 

•3 

B 

1 

ig  Atl.  &  Danvil 
Astern  .  .  . 

ig  one-half  Norfo 
(R.  F.  &  P.,  Was 
mac  .  .  . 

142 


Report  of  Committee  on  Tax  Revision. 


CO 


5-0 -S 

135 
111 

'S.5  a 


t-i_  l^  O  O  !--._  O  O5  »O  CO  CO  CO 


U500         r-T 

">  §3 


:  : 

:  • 

•  a 
'.  a 

-.3 

.  j^ 

s 
^ 

•^ 

:£ 

•  c 

5 

•.M 

-.2 
>5 

S; 

-°  :  2 
a  :'c 

1  il 

&  Norfolk  
line  one-half  Norfolk  Termi 

C 
^ 
£ 

•a 
s 
« 
^ 

S 
^ 

&  Danville.  F.  &  P..  and  R 

-half  Norfolk  Terminal')'.'.  '. 
&P.,  Wash.  So.,  and  Pot.,  < 

M*«E 


Chapter  IV — Public  Service  Corporations. 


1413 


o 
tf 


H 

O  O 
^ 

j/2  i— i 

§  1 

o  2 

9  o 

£H  W 

« i 

H  g 

r  i  *~i 


iS 

I 

a 


;goooooo< 


it-— OOi^COr-iOiiOOOOOOOOOiO 

"     t>Tcq      -H~          <NOO"<N<M'VH"O"T^C^O' 


- 

is  s  s 


i  coo  O  coc 


C         I 

B     ' 
> 


*  Os"  "^t*  T-H  -rj*  i— I  ic"  »O^  10"  oT  t*»  CO  iO  *— i  CO  O  CO 


WWW 


co  coo  -^  o  01  ^i 

^  " 


IO  *O  -^  CO 


........ 
sburg  . 


':«* 


ia 


'•*£& 

ilH 


?2 

11 

HSJ 


Q      23 


'I  i   J5|{   i*   :|,   : 

5  y  ill;?  ||^ 

'S  :rS'«ti":r  :  c1  P  c1^  i 

liliglllllll 


BgJlB*SJ»-SllJ 

r*    J«  ™    E-  t^  ^  ^C   r-    r^   C    fl'^^C 

fill 


§^3'3^ 


3J£2l< 


144 


Report  of  Committee  on  Tax  Revision. 


E  30—1913 

Virginia 
State  Only 

T}*  rjo  •—  I  -^  I  O  >O  O  CO  Ol  r^  OO  CO  f^-  C^J  O  »O  O  ^ 

OSCOr^«005l^iOI-^OiOOiQ-^'»rSr-.^Tji(M 
OcOC^^OCCt^-i—  (^HOfjOCO*O»O»OOOS  —  «  CC 

^     oo»-i^          ci'oofoi  x:oi  »o  *-H"odi-T 
<M      ^»o                    ^cc-H^esi-^i-.co^H 

C^                                                      CO          —  H 

$  921,701.61 

Z 
B 

R 

J 

"5 
1 

| 

p 

ACCRUED  "j 

Virgit 
State  and 

t^'~Hc<ir-Q':KI"            co3tNOT^-^"S<cooo 

iw 

1 

<5 
CQ 
H 

»rt  ~H  -^  ^  Tl<  10  CO  T»<  CN  1^  >0  O  C3  <N  -«t  I  ^  <=)  >(i 

§ 

g 

CO 

i 

s 

3 
g 

H 

H 

•^l       ^             ^       ^r    o»*    ** 

*» 

0 

K*"         03 

H 

i—  i       **5 
H 
O 

10                 S-             O 

;     ;     ;    ;         ItllllllllT-II 

<-<         PJ 

9    S   o 

»-3        <      £ 

9    g  i 

:  :  :  :      ::::::::::::: 

H    %  a 

;:;;:::::::::::::: 

w     w 

I:::.............. 

9  s 

Q       ° 

d    • 

§    £ 

»-3 

Jj 

H 

•  a  I*    •         •    -oy    • 

H 
°? 

:  :  j      ••••  '^  ':  ^r  ifS  : 

g 

:  :      :  :  :  :      ^J  :«a  :§"!.: 

c^ 

^    •    'fe    'Hj^    ' 

fc 

:  :      :  :  :  :      :^^  :  0-  .^^  . 

-S<>y         ;<stj  ;  ajlS"3  o  ;<j  S3  o  .2 

l^jllt*  ilp^flf  II 

1 

Chapter  IV — Public  Service  Corporations. 


145 


PQ 
H 


s^* 

3 


M 


s  e 

t"'  2 

«  p2 

M  o 

S 

O  o 

O2  02 

O  S 


1 

CO 

co  o  o  o    *o    *o    •  o  c<i  o  Tt<  ic  o  o  o  c 

iJ 
S 

S 

to 
O 

B 

8883988888888888* 

3 

9 

i 

^1 

CO  OS  SO  -4<  IO  O        OS        >0  <M  OS  OS  Tj<  t^.  CO  **-  l 
CO  (M  CO        OS        (M        5O1-H-*        i-noSoCSc 

3 

55 

RGINIA  TO  ' 

Revenue 
Car  Miles 

«o  o  co'  Is-'  c<j  o    '  us  «-i  od  co  to  od  co'  o  o  os  « 

i 
t 

i 

1 

> 
to 
0 

w 

s 

b 

All  Track 
Miles 

\ 

i 

§ 
23 

PERCEI 

1.1 

1 

5 

§ 

SO 

;        ;        ;        ;        ;        ;        III'. 

\\  :  I  M  j  1  1  I'll 

:  :  :      :      :  :  :      :  :  '  :  :| 

;  :  ;      ;  ;  ;^  ;J  ;  ;g 

1  ill       M  i|a  ;«  i  i  * 

!i:  :  i        i  i  IS55-  :?  :fS 

Atlantic  Coast  Line  
Big  Sandy  &  Cumberland  
Carolina,  Clinchfield  &  Ohio  
Chesapeake  &  Ohio  
Cumberland  Valley  &  Martinsburg.  .  . 
Danville  &  Western  
Delaware,  Maryland  &  Virginia  
Laurel  
Louisville  &  Nashville  
New  York,  Philadelphia  &  Norfolk.  .  .  . 
Norfolk  Southern  (Including  one-half  I 
Norfolk  &  Western  (Including  N.  R.  H 
Seaboard  Air  Line  
Southern  (Including  Atl.  &  Danville,  I 
Virginia  &  Southwestern  
Virginian  (Including  one-half  Norfolk  1 
Washington  Lines  (R.  F.  &  P.,  Wash.  S 
Winchester  &  Potomac  .  .  . 

' 

' 

F 

i 

H 

146 


Report  of  Committee  on  Tax  Revision. 


—  CON 


ER-STATE  RAILROADS  OPERATING  IN  VIRG 
YSIS  OF  TAXES. 


"8     »-H     « 

Sooo8oossss 

8SS§SSg    8 

— 

RELATION  OF  VIRGINIA  TAXES  TO 
VIRGINIA  EARNINGS  AND  VALUES 

V 

3 

•8 

8 

3 

1 

§ 
w  2 

i1 

02 

38gSS£S§go?S£2Eg§S8g    3 

|1 

81 

«.w  * 

2    SS: 

ssssesss  s 

Percentage  All  Va.  Taxes  to 

Net 
Earnings 

00  OS  00  CO      •  ~      •  2 

ss 

W»^  < 

Gross 
Earnings 

SSSSSgSS.S  =  S 

8sa««  a 

•  d   '• 

New  York,  Philadelphia  &  Norfolk  
Norfolk  Southnrn  (Including  one-half  Norfolk  Terminal)... 

Norfolk  &  Western  (Including  N.  R.  H.  &  W.,  Va.  Car.)  

Southern  (Including  Atl.  &  Danville,  F.  &  P.,  and  R.  &  M.)  

Viro-i'nin  &  Smith  wotitorn 

Virginian  (Including  one-half  Norfolk  Terminal)  
Washington  Lines  (R.  F.  &  P.,  Wash.  So.,  and  Pot.,  &  Petersb'g  Con 
Winchester  &  Potomac  

Total  .  .  . 

; 

;t 

.  C 

1 
l! 

•<£ 

1 

4 

TJ 

"o  c 

ic 

6* 

|1 

•1J 

OC 

1 

1 
•8 

o'  ^ 

11 
5C 

4 

=8 

1 

1 

f 

11 

&• 

C 
^ 

^ 

•% 

1 

1 

E 

Chapter  IV — Public  Service  Corporations. 


147 


1 
o 

8S8SS3SS8S88S^S 

55 

od 

1 

co  o  o  GO  o"1^?  ocTc^o  oT  c^i  o  co*oo  o-  o 

i-HCOiOCOCOl>-O               CO  «O  CO  »—  1  i-H  O 

t&      cJi-i                                      co" 

I 

b-H 

I 

a 

r^ 
OQ 

.2 

1 
'S, 

«D        "*""''                                                     ^ 

3 

| 

1 

1 

EH 

I 

1 

•*      Ne"ow    rtrtl°  " 

rt 

' 

hH 

a 

§^^^^2§SS§^g5^S^2S 

S 

1 

isi^isii§si§iisi 

§ 

M 

1 

o 

^COCO^QO.OCO^^^COOO^^C, 

s 
3 

1  1 
g 

M 

i 

SS^o2!^S§§  :2S?§§§2 

Ti<Co'cOO5CRcOOOC^      •t^'-l<MiO<M'e<i 

i 

1—  I 

EH        g 

g  1 

Otf 

US  f 

S      M 

glMtO^HOOOOSOOO      -O^C^OOO 
N  O>  O  --i  t^  O3  CO  O      •  -H  >O  T-I  00  O  O 

•>*«M  O  IO  OO  10  CO  h-  (M      '  OO  C^  (M  -^i  IM  o> 

I 

of2       ri 

p 

<J         03 

O      o 

^      2 

!  1  1  1  1  1  :  1  1  1  :  1  1  1.  1 

p 

PH 
rvi 

PH 

EH 

H 

QQ 

<ri 

!    !    I    I    I    '.    I        !!!!!!! 

TABLE  8—  INTR. 

Big  Stone  Gap  &  Powells  Valley  
Cape  Charles  
Ches.  &  Western  (Inc.  Ches.  &  West.) 
Inter-State  
Marion  &  Rye  Valley  
Nelson  &  Albemarle  
Norfolk  &  Portsmouth  Belt  Line  
Potomac,  Fredericksburg  &  Piedmon 
Roaring  Fork  
Rosslyn  Connecting  
Surry,  Sussex  &  Southampton  
Tidewater  &  Western  
Valley  Railroad  Co.  of  Va. 
Virginia  &  Kentucky  
Virginia  Southern  
Winchester  &  Strasburg  

0 

H 

148 


Report  of  Committee  on  Tax  Revision. 


»  * 

« 

H  Q 

H  fc 


W  I 

g  § 

^  P 

i-l 

g  2 

Q  o 
,jj 

g  2 


Val 
and 


Capital 
Ear 


;cOO'* 

co  o»  oo 


co  o»  oo  <N  co  • 


llqiiiSsiglisgj 


•  o-d 
;  a  a> 


Chapter  IV — Public  Service  Corporations. 


149 


OF  STOCKS 

UE  TO  EQUAL 
:RAGE  RATE 

Decrease  on 
Present 
Tax 

t^      eocflio    "o    •  N  o  oo  co  «o  o>  ^H  c<i 

»O    •    r-c<MTj<      -C«      •  «O  N  1O  O5  ^  CO  «15  ^ 

us      «oo»c^    lo^    ;eo^'-ii--^Scooo  co 

^^  23,967.28 
$282,680.72 

^> 

g 

*l 

•  o        ••e<«-t~    

«    2 

A  ^ 

<JJ  »O 

£ 

£(vroS 

S  8 
^ 

£*> 

I 

B     EH 

w? 

% 

h*5? 

go 

gS 
5« 

O 

^ 

H«d 

t—  i  rrt 

wd 

S 
fe^ 

o 

!>W 

3£ 

SH 

!z;0 
°M 

x^ 

SH 

1 

O       C4 
CO       ^ 

H02 

02H 

pq  _ 

h 
I 

•a 

Sco 

sssssssssssssssa 

o     >o 

C4        CO 

EH 

3     eg 

H      W^ 

t_j  <j 

1 

£ 

Accruals  Fi 
Year  191 

S  0  t^  00  S  l>-  N  W  t^  0  >«  ^S  S  §  «3 

S    8 

c«     os" 
i 

M       M  t) 



• 

<1       ^H 

^       ^° 

P<j 
pq 

• 

«a 

<10 
PL,<1 

^g 

og 

°^ 

CO 

SH 

::::::::: 

rH  <1 

0202 

HQ 
M  ^ 

:  :-:      :      :::::::::: 

^0 

^ipq 

:  :^     :  :  :•§      :  :  :  :      :  : 

en 

^H  h^ 

^  :|        :  §|      :  ;  ^  :'     '•  '• 

ACTUAL  RAILRO^ 
Al 

Total  
Total  all  Railroads.... 

150 


Report  of  Committee  on  Tax  Revision. 


TABLE  11. 

ACTUAL  RAILROAD  TAXES  1913  COMPARED  WITH  TAXES  IF  LEVIED  ON  VALUE  OF  STOCKS  AND  BONDS  AT 
AVERAGE  ACTUAL  REAL  ESTATE  RATE  OF  $.577—  CONTINUED. 

)  VALUE  TO 
3TATE  AT 

] 

Decrease  on 
Present  Tax 

,00    •  o  e>»  to  >o  oo  eo  *-»  >o  co      —  lus^    !t~- 

$  258,713.44 

;o(Nw 

OOi-H 

1C  GO      .COt--  CO 

;  -        <":                 I     I     I     1     I 
°?     '**     

40,622.91 

$2,061,815.44  $  93,502.73 

to    •  to    

^  ':     i     ::::,: 

I  i 

M 

1 

$2,227,026.15 

B-8-3"S       SS 

C^  O5  OO  ^*  Tt<  CC 

§<" 

INTERSTATE  RAILROADS 

c 

! 

d 

M 
JD 

£ 

jHs: 

Norfolk  Southern  (Including  one-half  Norfolk  Termin 
Norfolk  &  Western  (Including  N.  R.  H.  &  W.,  Va.  Car 
Seaboard  Air  Line  
Southern  (Including  Atl.  &  Danville,  F.  &  P.,  and  R. 
Virginia  &  Southwestern  

Washington  Lines  (R.  F.  &  P.,  Wash.  So.,  and  Pot.,  & 
Winchester  &  Potomac.  .  . 

\\i 

•  :^3' 

il 

_JJ3     '  & 

^0   :| 
IS  =2  ! 

Cfl^-2»£ 

III! 

Miii 

•^  g  c  c.  o  = 

Sfl  is  ^ 

•^3.5?  3j=:  3  =3 
«<PQOOOQ 

H 

>       :  c 

S!IJ 

c   •  >  « 

ll 

s  ••#* 

s  -;IJ 
111' 

aJ^2 

Chapter  IV — Public  Service  Corporations. 


151 


PQ 
<! 
EH 


P5  a 

I  i 

W  M 

8  & 

%  I 

B  € 

a  § 


to  True 
Value 


.«3OcOO5«OOT-iOOt^cOlCCOCO 

>-*f>«iot--Tt<r^-«*c<fi-<tiio-*i.-cr^. 


iii 

I! 


O  1>-  O  O  T— iCO^-iO^iOOOOOOOOOiO 
!>•  O  SO  »O  iO  -st"         "^I^COCiO'^fOC^lOitNcO 

s  **"§§ 


t-C  ^ 


lC"-IOOa5OCOrHOO- 
l^-^TfiOlScOIMi-il 


r^-t->-GOOSGO^t<OOCO^HO»OTtHOCOl>.GOOOiO 
C^t'-fMOCOCOcOC^OCO*— lt-~Tt<CDCsr>-Tt<co 
£-  OOOOC^t-  00  OC"*-*  00  (MOSS 

"*         ^W  «-l<»«gl 


!888: 


!SgM^SS§8S§§§^^ 

1-H  TfTfrt1**<'--lt^t^OC^t>- 

r-T         IO          1C"         IM" 


.  «  CD  1C  00  O  --.  . 


lOCOTtifMi-HOOGOTtH-l 


«^rt«^ao^, 


urg 


;;;;:: ;  ;3 

:   •   •  M 

i  i  i  i  ;  U  i  ii 

i  ;  ;  •  i  -s  ;  ;| 


ill 


URL 


^» 

:  •  :j2  :  <a 

Jl  il  ^: 

^O  :,S  ':> 

C9..H    :^5    •  ,.  .-«J5  o    . r;  u  nw 

"£       :=«   .'°®  ^^S13    •<^5°   • 

O  ^     I           >  »rt  ^H   O*.H  t1^.     I  b/l  (/>   bf  Cd 

fiZ-g  o  »ifl  2  'S"«G^  :fl«aCi 

1lgi|lliS; 

KJUTS.S  a^-ss'isgsj 


152 


Report  of  Committee  on  Tax  Revision. 


CO 


J£ 


• 

•8H 


co  <M  oo  c«  co  - 


-H  c    CD  -*         C^l  00  «5  U5  o    C< 

ooo>rat^oO'-<»c-^ioo^ 

co cc «-i  «-i  •'Ji  1-1  eoco 


*  :  i  IS* 


*!£« 


si 


|JS 


:J:j 

•  a  •  : 
i§  :> 


§»l    feile* 

»^5 


.Sr  03 -G  ±J 
PQOO^ 


Chapter  IV — Public  Service  Corporations.  153 

Street  Railways. 

These  companies  are  classed  as  railway  companies  and  are  assessed 
and  taxed  in  the  same  manner.  With  one  exception,  all  such  roads 
operating  in  Virginia  are  intrastate.  For  the  year  ending  June  30,  1913, 
they  paid  to  the  State  on  their  railroad  property  taxes  amounting  to 
$72,061.81,  and  to  the  State  and  localities  (including  the  taxes  paid 
on  their  water,  heat,  light  and  power  business)  they  paid  the  sum  of 
$405,390.56,  which  was  13.88  per  cent,  of  their  net  earnings  for  the 
year.  The  rate  of  taxes  paid  on  net  earnings  capitalized  at  seven  per 
cent,  was  ninety-three  cents  on  each  $100.00,  and  on  stock  and  bond 
valuation  eighty-three  cents  on  each  $100.00. 

Measured  by  the  real  estate  standard  it  would  seem  that  this  class 
of  property  is  paying  its  full  share  of  taxes  to  the  State  and  communi- 
ties. Two  tables,  marked  "A"  and  "B,"  respectively,  are  appended  to 
this  report  giving  detailed  information  as  to  the  several  companies 
operating  in  Virginia. 


154 


Report  of  Committee  ou  Tax  Revision. 


O 

PH 


WcT 


grf 

O  H 


HO 

GO  HH 
hHH 

HO 


OO 


M 

P^ 
PM 
O 


Ill 

> 


al 


-I  11 

ISiil 


O        O 

O     O 


—  — 

=  = 


t^  ^H  r^  •»»  -H  "S  to  oo  ^H  eg  O  O  os  cc  ro  oo  o  «o  ^H 
^  <=!  ^S^.S  co^«cr-  cst-:  oo  ooqo-^ 
odco  TH"oioo^oo''^<Ba)-*-H-HOco'oo5 

§g  g^§^f2^^§||^fe§^§^S 
S  w"  t  S  TJ  S  2  S^S5^  ^  S^S^S1*  ff 

•*  a  o  °^  w  <**       ~  z 

* 


,.j 


ill 


O  -»J  O  -tn  C 
»O  •£•?  O     fe  C 

J  O! .   &  O    ^  < 


iii 


•3*3 
a  a 


-•*       s? 


III 

PI 

fa-fi  ® 

T3   O   ^ 


III 

II! 


Chapter  IV — Public  Service  Corporations. 


155 


te 

c 
o 


O 

1 — I 

EH 
Pn 

H 

Pn  co 


Pn 


ow 


TABLE 


HP 


fe 


m 

O 


1 

§=! 

s§» 

co  Tt«      «o      o»      i>-  o  C2  10           «o  r-»  co  CN  r--.  o  03 

<M  CO        -<f         O        00  •*  0  T}<               05  CO  OS  >O  CO  CO  00 

6     6 

0     0 

cc 

00 

b 

fill 

b    b            II 

^     ^               a  a 

PH  OH          a  a 

, 

ENTAGE  ANA 

ill! 

rt  a     c3 

Ho    H 

t^p|a^ 

8 

i 

H 

•     M     ji     >             ;  ^  ^         ; 

•  o  go  •£  o  £  co  o  o    •  .T5  ."3  •*  o    ••^t^t^io 

i  1  I  1       ill  °  ; 

^         ^                      .  M  bfi 
O         4)         <B                      '.rt.S 

^    ^    ^    fc            »         : 

OO 

oo 

H 

;      XI     XI                  xlxl 

S      .;«|«|S    ^^||rt^S    2    g 

:     §     S              gg 
i—  i    i—  i             i—  it—  i 

405,390.56 

.  , 

i 
i 

Appalachian  Power  Company  (Interstate)  .... 
Blue  Ridge  Light  &  Power  Co.  (Staunton)  .... 
Bristol  Traction  Company  
Charlottesville  &  Albemarle  Rwy.  Co  
Citizens  Railway  Light  &  Power  Co  
Danville  Traction  &  Power  Co  
Hampton  Roads  Traction  Co  
Lynchburg  Traction  &  Light  Company  
Mill  Mountain  Incline,  Inc.  (Roanoke)  
Newport  News  &  Old  Point  Rwy.  &  Elec.  Co.  . 
Norfolk  City  &  Suburban  Rwy.  Co  
Norfolk  &  Ocean  View  Rwy.  Co  
Norfolk  Railway  &  Light  Company  
Radf  ord  Water  Power  Company  
Richmond  &  Chesapeake  Bay  Rwy.  Co  
Richmond  &  Henrico  Rwy.  Co 
Richmond  &  Rappahannock  River  Rwy.  Co.  . 
Roanoke  Railway  &  Electric  Co  . 
Tazewell  Street  Rwy.  Co  
Virginia  Railway  &  Power  Company  

1 

156  Report  of  Committee  on  Tax  Revision. 

Water,  Heat,  Light  and  Power  Companies. 

As  a  general  rule,  water,  heat,  light  and  power  companies  are  af- 
filiated with  Electric  Railway  Companies  and  they  would  naturally  be 
considered  along  with  such  companies,  but  they  are  not  always  so  af- 
filiated, and  it  has  been  the  policy  in  Virginia  to  treat  them  as  separate 
subjects  of  taxation.  While  it  is  somewhat  difficult  to  segregate  the 
earnings  and  properties  of  the  two  operations  when  carried  on  under 
the  same  administrative  head,  we  have  not  thought  it  expedient  to  recom- 
mend a  change  in  the  present  plan  of  taxing  them  separately.  Under  our 
present  method,  there  is  imposed  on  these  companies,  in  addition  to  the 
property  tax,  a  State  franchise  tax  equal  to  one-half  of  one  per  cent,  of 
their  gross  earnings,  and  the  cities  and  towns  are  given  the  right  to 
impose  a  license  tax  not  to  exceed  one-half  of  one  per  cent,  of  the  gross 
earnings  derived  from  the  business  in  such  communities.  Prior  to  1912, 
the  State  franchise  tax  was  fixed  at  one  per  cent,  of  the  gross  receipts, 
but  by  act  approved  March  14th  of  that  year,  the  law  was  so  amended 
as  to  divide  this  tax  equally  between  the  State  and  the  local  communi- 
ties. We  are  of  opinion  that  the  law  should  be  restored  to  its  original 
form.  The  cities  and  towns  must  grant  a  franchise  to  the  companies 
before  they  are  permitted  to  transact  business  within  their  limits,  and 
they  have  the  right  to  fix  the  terms  and  conditions  on  which  the  business 
shall  be  transacted  within  their  jurisdiction.  In  many  instances  a  yearly 
compensation  is  paid  to  the  communities  under  these  franchise  contracts, 
and,  in  addition,  the  communities  impose  a  tax  upon  the  properties  of 
the  companies  in  their  territory  at  the  full  local  rates.  In  the  e'vent 
the  plan  for  partial  segregation  proposed  in  this  report  is  adopted  by 
the  General  Assembly  the  State  will  surrender  to  the  communities  the 
property  tax  it  now  receives.  We  do  not  believe  that  under  the  present 
law  as  amended  ihe  State  is  receiving  its  just  share  of  the  revenue  de- 
rived from  this  source,  and  we  strongly  'recommend  that  the  State 
franchise  tax  be  restored  to  one  per  cent,  of  the  gross  earnings. 

Under  the  present  law,  the  companies  are  required  to  report  in  detail 
the  several  items  of  their  properties  with  their  cost,  and  it  is  provided  that 
the  cost  of  every  item  shall  be  an  accurate  estimate  of  its  fair  cash 
value  for  the  purposes  of  assessment.  This  provision  of  the  law  is 
anomalous  and  might  lead  to  great  injustice.  We  recommend  that  the 
law  be  so  amended  as  to  require  the  companies  to  report  their  property 
in  detail  as  heretofore,  but  that  it  be  left  to  the  assessing  body  to  fix 
its  fair  cash  or  fair  market  value,  as  is  done  with  the  property  of  other 
corporations. 

We  have  prepared  and  file  as  a  part  of  this  report  a  bill  carrying 
into  effect  the  recommendations  we  have  made. 

The  State  revenue  received  from  these  companies  for  the  year  ending 
June  30,  1913,  was  $46,315.78;  for  the  year  ending  June  30,  1914, 
$55,787.57;  and  as  assessed  for  the  year  ending  June  30,  1915,  will 
yield  $60,236.75.  If  our  recommendations  are  adopted  the  State  will 
receive  an  additional  amount  of  about  $25,000.00  under  the  next  as- 
sessment. 


Chapter  IV — Public  Service  Corporations.  15? 

Telegraph  and  Telephone  Companies. 

The  State  revenues  received  from  telegraph  and  telephone  com- 
panies for  the  year  ending  June  30,  1913,  amounted  to  $65,537.12, 
and  under  the  assessment  made  in  1914,  this  amount  will  be  increased 
to  $70,589.13. 

We  considered  presenting  a  plan  for  taxing  these  companies  similar 
to  that  we  recommend  for  taxing  railroads,,  but  were  not  able  in  the 
limited  time  at  our  disposal  to  assemble  the  data  required  on  which  to 
base  a  satisfactory  bill.  We,  therefore,  recommend  no  change  in  the 
present  law. 

Sleeping  and  Parlor  Car  Companies. 

The  Pullman  Palace  Car  Company  is  the  only  company  of  this 
character  which  operates  in  Virginia.  Its  business  is  almost  entirely 
interstate  and  no  reports  are  made  by  which  its  actual  earnings  in  the 
State  can  be  definitely  ascertained.  For  these  reasons  it  is  very  difficult 
to  determine  what  would  be  a  reasonable  tax  to  impose  on  the  company. 
Under  the  present  law,  a  license  tax  of  two  dollars  for  each  mile  operated 
between  points  in  this  State  is  imposed  in  lieu  of  all  other  State  taxes 
against  the  Company.  This  tax  amounted  to  $5,141.78  for  the  year 
ending  June  30,  1913,  and  to  $5,520.78  for  the  year  ending  June 
30,  1914. 

From  a  statement  furnished  by  the  company  to  the  Committee  its 
gross  earnings  in  Virginia  for  the  year  are  estimated  at  about  $360,- 
000.00,  including  both  intrastate  earnings  and  the  estimated  proportion 
of  interstate  earnings  proper  to  apportion  to  the  State.  The  taxes  paid 
are,  therefore,  almost  one  and  one-half  per  cent,  of  the  gross  earnings, 
which  seems  low.  To  increase  the  license  tax  to  three  dollars  per  mile 
would  require  the  company  to  pay  a  total  tax  of  about  $8,250.00,  or 
a  little  less  than  three  per  cent,  on  its  estimated  gross  receipts,  which 
appears  reasonable.  We,  therefore,  recommend  that  the  present  law 
be  so  amended  as  to  increase  the  license  tax  against  such  companies 
from  two  dollars  to  three  dollars  for  each  mile  operated  between  points  in 
this  State. 

Express  Companies  and  Private  Car  Companies. 

The  business  of  express  companies,  like  that  of  all  other  car  service 
companies,  is  largely  interstate,  and  no  source  of  information  has  been 
available  to  us  by  which  we  could  definitely  ascertain  and  determine 
what  would  be  a  fair  basis  of  taxation.  Under  the  present  law,  a  license 
tax  of  six  dollars  for  each  mile  operated  in  Virginia  is  charged,  in  addi- 
tion to  the  regular  tax  on  property  permanently  located  within  the 
State.  The  total  taxes  paid  to  the  State  for  the  year'  encl.ing  June  30, 
1913,  were  $26,823.21,  and  for  1914  were  $26,978.18.  We  have  not 
been  able  to  ascertain  the  amount  of  revenue  paid  to  the  localities,  but 
it  is  small.  It  was  urged  before  us  by  the  representatives  of  these  com- 


158  Report  of  Committee  on  Tax  Revision. 

parries  that,  in  view  of  the  establishment  of  the  parcel  post,  and  par- 
ticularly of  the  policy  of  the  government  in  extending  this  service,  and 
also  by  reason  of  the  limitation  of  express  rates  by  the  interstate  Com- 
merce Commission  and  the  Virginia  State  Corporation  Commission,  their 
business  was  being  curtailed  and  their  operating  revenues  decreased,  and 
that  they  should  be  relieved  to  some  extent.  These  views  impressed  us 
as  not  being  without  merit,  and  we  recommend  a  system  of  taxation  for 
these  companies  more  elastic  in  its  nature  and  which  will  give  them 
relief  if  their  apprehensions  are  realized  as  to  the  reduction  of  their 
revenues  and  at  the  same  time  will  give  the  State  the  benefit  of  any 
increase  in  such  revenues. 

From  the  best  information  we  could  obtain  a  tax  of  two  per  cent, 
on  the  gross  revenues  of  express  companies  would  yield  about  the  same 
amount  of  revenue  which  is  now  paid  to  the  State  and  communities. 
As  about  fifty  per  cent,  of  the  gross  receipts  of  these  companies  is  paid 
to  the  railroad  and  steamship  companies  for  transportation  services,  the 
tax  proposed  would  be  equivalent  to  four  per  cent,  of  the  express  earn- 
ings, which  is  about  the  average  rate  imposed  in  those  states  where  a 
gross  earnings  tax  obtains. 

Other  Car  Service  Companies. 

A  considerable  business  is  done  in  Virginia  by  car  service  companies 
operating  over  the  transportation  lines  in  the  State,  refrigerator  cars, 
fruit  cars,  tank  cars,  etc.,  which  have  heretofore  escaped  taxation.  Their 
business  is  interstate  and  they  have,  as  a  rule,  no  regular  runs.  Their 
property  is  transitory,  but  a  portion  of  it  is  constantly  within  the 
State,  and  they  should  justly  contribute  to  the  State's  revenues.  We 
recommend  that  these  companies  be  required  to  report  to  the  State 
Corporation,  Commission  or  to  the  State  Tax  Commission,  should  such  a 
body  be  created  by  the  General  Assembly,  their  earnings  and  operations 
in  the  State,  and  that  a  gross  earnings  tax  be  imposed  upon  them  in 
lieu  of  all  other  taxes  of  every  character,  State  and  local.  From  our 
investigations  of  the  tax  systems  of  other  states  where  such  companies 
are  thus  taxed  we  think  a  rate  of  four  per  cent,  on  the  gross  earnings 
would  be  reasonable. 

We  have  prepared  and  file  as  a  part  of  this  report  a  bill  carrying  into 
effect  our  recommendations  with  reference  to  express  companies  and 
other  car  service  companies. 

Steam  Boat  Companies. 

The  revenue  derived  from  this  class  of  companies  is  relatively  small 
as  compared  with  the  immense  shipping  business  originated  within  the 
State.  This  Committee  is  impressed  with  the  idea  that  an  effort  should 
be  made  to  devise 'some  plan  by  which  the  State  could  secure  an  adequate 
revenue  from  this  source,  but  owing  to  the  character  of  the  business  and 
its  relation  to  interstate  and  foreign  commerce,  it  is  involved  with  such 
difficulty  that  in  our  limited  time  we  have  been  unable  to  give  the  sub- 


Chapter  IV — Public  Service  Corporations.  159 

ject  adequate  attention.     We  rexommend  this  matter,  however,  to  the 
General  Assembly  as  a  subject  worthy  of  serious  consideration. 

In  the  meantime  we  do  not  recommend  any  change  in  the  present 
law. 


160  Report  of  Committee  on  Tax  Revision. 

A  BILL 

RAILWAY  AND  CANAL  COMPANIES. 

TAX  BILL: 

Sec.  27:     On  or  before  the  first  day  of  September  in  each  year  a 

report  in  writing  shall  be  made  to by  every 

railway  and  canal  corporation  doing  business  partly  or  wholly  in  this 
State.  Such  report  shall  be  verified  by  the  oath  of  the  president  or 
other  proper  officer  of  such  corporation,  and  shall  show  in  detail  par- 
ticulars as  hereinafter  set  forth  for  the  year  ending  June  thirtieth  next 
preceding. 

In  the  case  of  railway  corporations  such  return  shall  show  for  each 
such  company : 

(a)  The  whole  number  of  miles  of  railroad  owned,  or  leased,  and 
operated  within  this  State,  including  all  tracks,  branches  and  sidings ; 

(b)  If  such  railroad  be  partly  within  and  partly  without  this  State, 
the  whole  number  of  miles  within  this  State,  and  the  whole  number  of 
miles  without  the  same,  including  all  tracks,  branches  and  sidings  within 
and  without  the  State. 

(c)  The  railroad  tracks  in  each  county,  city,  town  and  school  district 
in  this  State  through  which  it  runs,  including  all  tracks,  branches  and 
sidings  therein,  and  the  fair  market  value  per  mile  of  such  railroad  in 
each  county,  city,  town  and  school  district,  stating  separately  the  value 
of  main  track,  other  tracks,  sidings,  etc. 

(d)  The  number  of  ties  in  the  tracks  per  mile,  the  weight  per  yard 
of  steel  or  iron  rails  used  on  main  tracks,  the  ballasting  of  the  tracks, 
whether  of  rock,  gravel  or  other  material. 

(e)  A  complete  list  giving  size,  location   (as  to  city,  town,  county 
and  school  district)   material  and  value  of  all  depots,  station  houses, 
machine  and  repair  shops,  with  all  machinery  therein,  tool  houses  and 
tools  usually  kept  therein,  fuel  and  water  stations,  and  the  machinery 
and  tanks  connected  therewith,  together  with  all  other  real  estate  and 
buildings  (other  than  railroad  track)  owned  and  used  in  connection  with 
the  operation  of  the  railroad,  including  telegraph  and  telephone  lines. 

(f )  All  rolling  stock  owned,  leased  or  operated,  showing  in  separate 
classes:     (1)  the  rolling  stock  owned;   (2)  the  rolling  stock  leased  or 
held  under  any  conditional  sale  or  other  contract,  giving  such  owner 
or  operator  the  possession  or  control  thereof;   (3)  the  names  and  ad- 
dresses of  all  corporations,  companies  or  individuals  not  railroad  com- 
panies, whose,  rolling  stock  is  used  or  operated  on  said  railway  within 
this  State  or  partly  within  and  partly  without  this  State  during  the 
said  year. 

(g)  An  itemized  list  of  all  real  property,  other  than  that  used  in 
the  operation  of  the  railroad,  together  with  its  location   (as  to  city, 
county,  town  and  school  district)    character,  improvements,  buildings 
and  actual  value. 


Chapter  IV — Public  Service  Corporations.  161 


(h)  The  capital  actually  employed,  the  total  amount  of  capital  stock 
authorized,  the  amount  outstanding,  together  with  different  classes  of 
same,  and  the  number  of  shares  into  which  such  capital  stock  is  divided; 
the  amount  of  outstanding  bonded  indebtedness;  the  interest  rate  of 
same;  the  average  market  value  of  such  outstanding  stock  and  bonds,  for 
the  year  next  preceding  the  thirtieth  day  of  June  in  the  year  in  which 
such  report  is  made  or  required ;  the  amount  of  indebtedness  not  bonded ; 
the  gross  earnings  from  operations  for  the  year,  including  earnings 
from  telegraph  and  telephone  lines,  which  shall  be  stated  separately,  on 
the  whole  length  of  the  road  including  the  branches  thereof,  in  and  out 
of  the  State,  and  also  such  earnings  within  the  State,  and  the  proportion 
of  such  earnings  on  through  freight  and  passengers  carried  over  lines 
JLTL  and  out  of  the  State,  to  be  ascertained  under  interstate  commerce  com- 
mission rules  for  accounting  and  apportioned  thereunder  on  a  mileage 
basis. 

(i)  The  gross  expenditures  for  the  year,  within  and  without  the 
State,  giving  a  detailed  statement  thereof  under  each  class  or  head  of 
expenditures. 

(j)  Any  and  all  other  information  and  property  omitted  in  the  fore- 
going heads,  in  such  form  and  detail  as  the 

shall  require. 

In  the  case  of  canals,  such  return  shall  show  for  every  corporation 
or  owner  of  such  canal: — 

(a)  The  number  of  miles  owned,  leased  or  operated,  within  and 
without  this  State. 

(b)  If  such  canal  be  partly  within  and  partly  without  this  State, 
the  whole  number  of  miles  within  this  State,  and  the  whole  number  of 
miles  without  the  same. 

(c)  The  length  of  such  canal  in  each  county,  city,  town  and  school 
district  through  which  it  runs  in  this  State,  and  the  true  and  accurate 
value  of  same  in  each  such  sub-division. 

(d)  A  correct  and  full  list  of  all  boats  and  other  craft  owned  by  such 
corporation  or  owner,  used  wholly  or  in  part  in  this  State,  distinguishing 
between  those  used  wholly  within  this  State  and  those  used  partly  within 
and  partly  without  the  same,  and  the  true  and  actual  value  of  same, 
giving  the  proportional  value  of  such  boats  and  other  craft  used  partly 
within  and  partly  without  the  State  according  to  the  time  used  and  the 
number  of  miles  run  by  same  in  and  out  of  the  State;  and  the  pro- 
portional value  thereof  in  each  county,  city,  town  and  school  district 
through  which  said  canal  runs. 

(e)  All  real  and  personal  property  other  than  is  included  in  the 
foregoing  headings,  used  in  the  operation  of  said  canal,  which  would 
be  taxable  if  owned  by  an  individual  in  this  State,  stating  where  located 
and  giving  the  true  and  actual  value  of  same. 

(f)  The  capital  actually  employed,  the  total  amount  of  bonded  in- 
debtedness and  of  indebtedness  not  bonded,  the  total  amount  of  out- 
standing capital  stock  and  the  average  market  value  of  such  stock  and 
bonds  for  the  year  ending  June  thirtieth  next  preceding  the  date  said 
report  is  made  or  required ;  the  gross  earnings  for  the  year  for  the 
entire  line  in  and  out  of  this  State,  and  also  such  earnings  within  the 


Report  of  Committee  on  Tax  Revision. 


State  on  freight  and  passengers  and  the  proportion  of  such  earn  ings  on 
through  freight  and  passengers  carried  on  such  canal  partly  within  and 
partly  without  the  State,  to  be  ascertained  by  the  number  of  miles  the 
same  was  carried  within  and  the  number  of  miles  without  the  State. 

(g)  Gross  expenditures  for  the  year,  giving  a  detailed  statement 
thereof,  under  each  class  or  head  of  expenditures. 

(h)  Any  other  matter  or  information,  and  in  such  form  and  detail 
as  the  said , shall  require. 

It  shall  be  the  duty  of  the 

to  prepare  and  furnish  to  the  several  corporations  required  to  make  re- 
ports under  this  act,  forms  for  such  reports,  which  said  corporations 
ahall  use  in  making  the  reports  required  of  them,  and  any  such  cor- 
poration which  shall  fail  to  make  the  report  as  herein  required  within 
the  time  or  in  the  manner  prescribed  shall  be  liable  to  a  fine  of  not  less 
than  one  hundred  dollars  nor  more  than  two  hundred  and  fifty  dollars 
for  each  day  such  corporation  may  be  in  default  in  making  such  report. 
The  said  fine  to  be  imposed  and  judgment  entered  therefor  by  the 

after  thirty  days  notice  to  any 

iuch  defaulting  corporation  to  appear  before  the  said 

and  show  cause,  if  any,  against  the  imposition  of 

euch  fine,  subject  to  appeal  to  the  Supreme  Court  of  Appeals. 

If  any  such  corporation  fail  to  make  report  as  herein  required  to  the 

,   or  if  such   report  be  not 

satisfactory,  said  shall  pro- 
ceed at  such  time  as  it  may  elect  on  or  before  the  fifteenth  day  of  Sep- 
tember of  each  year  to  obtain  the  facts  and  information  required  to 
be  furnished  by  such  reports,  and  to  this  end  shall  be  authorized  and 
empowered  to  send  for  persons  and  papers,  and  may  compel  the  at- 
tendance of  any  person  and  the  production  of  any  paper  necessary  in 

the  opinion  of  the  said   to 

enable  it  to  obtain  the  information  desired  for  the  proper  discharge  of 
its  duties  under  this  act;  and  in  the  performance  of  this  duty  shall 
have  all  the  power  of  courts  of  record  in  this  Commonwealth  to  summon 
and  compel  the  attendance  of  witnesses,  the  production  of  papers  and 
the  enforcement  of  its  orders. 

Nothing  in  this  act  contained  shall  be  construed^  to  require  the  as- 
sessment of  any  part  of  the  railroad  or  canal  until  such  part  is  so  far 
completed  as  to  be  fit  for  use,  such  property  shall  be  assessed  in  each 
locality  where  situated  as  other  real  estate  is  assessed  therein. 

All  street  car  and  electric  car  companies  and  all  railroads,  owned  by 
mining,  lumber  and  like  companies  which  transport  passengers  or  freight 
for  others  than  such  owners,  shall  be  assessed  in  the  mode  prescribed 
by  this  act,  but  the  real  estate  belonging  to  such  companies,  not  used 
as  a  part  of  their  roadbed  or  for  depot  purposes  shall  be  assessed  as 
other  like  real  estate  is  assessed  in  the  localities  where  situated. 

As  soon  as  possible  after  the 

shall  have  procured  the  necessary  information  to  enable  it  to  do  so,  and 

it  the  latest  before  the  first  day  of  October  in  each  year,  the  said 

shall  proceed  to  assess  and  fix  the  fair 

market  value  of  each  railway  and  canal  corporation  within  this  State, 


Chapter  IV — Public  Service  Corporations.  163 

including  in  said  assessment  and  valuation  the  value  of  its  franchises, 
as  well  as  the  value  of  its  physical  and  non-physical  properties,  and 
with  due  regard  to  any  increment  of  value  arising  from  its  existence 
as  a  going  concern,  When  said  valuation  is  made,  the  total  amount 
thereof  shall  be  distributed  and  assigned,  as  assessments,  to  the  several 
counties,  cities,  towns  and  school  districts,  through  which  the  said  rail- 
road or  canal  of  any  such  corporation  runs,  and  in  which  any  of  its  prop- 
erty so  assessed  is  located,  according  and  in  proportion  to  the  relative 
value  of  such  property  in  each  such  locality,  except  as  is  hereinafter  pro- 
vided as  to  the  distribution  of  the  assessed  value  of  rolling  stock. 


In  ascertaining  such  value  the 


shall  consider  the  report,  if  any,  made  by  the  corporation  or  owner,  and 
any  report  which  may  have  previously  been  made  by  such  corporation  and 
all  the  evidence  and  information  it  has  procured  and  such  as  may  be 
offered  by  the  corporation.  A  certified  copy  of  this  assessment  when 

made  shall  be  immediately  furnished  by  the  clerk  of  the 

not  later  than  the  fifteenth  day  of  October,  to  the 

auditor  of  public  accounts,  and  to  the  president  or  other  proper  officer 
of  each  such  railway  or  canal  corporation,  at  the  principal  office  of  said 
corporation.  Certified  copies  of  said  assessment  shall. also  be  furnished 
by  the  said  clerk  to  the  council  of  every  city  and  town  and  to  the  board 
of  supervisors  of  every  county  wherein  any  property  assessed  under  this 
act  is  situated.  Said  assessment  shall  show  the  character  of  the  prop- 
erty so  assessed,  its  value  and  location  in  each  city,  county,  town  and 
district;  provided,  however,  that  it  shall  be  the  duty  of  the  division 
superintendent  of  schools  in  each  county  wherein  any  of  said  property 
is  situated  to  furnish  on  or  before  June  first  annually  to  each  such 

railway  and  canal  corporation,  and  to  the  said 

,  the  boundaries  of  the  school  districts  of  the  said  county 

wherein  such  property  or  any  part  thereof  is  situated.  Any  division 
superintendent  of  schools  who  shall  fail  £o  perform  any  duty  required 
of  him  in  this  act  shall  be  guilty  of  a  misdemeanor  and  fined  not  less  than 
twenty-five  dollars  nor  more  than  one  hundred  dollars  for  each  offense. 

Any  such  railway  or  canal  corporation,  of  the  State  or  any  county, 
city,  or  town  aggrieved  by  the  said  assessment  or  any  part  thereof,  may 
within  thirty  days  after  receiving  a  certified  copy  thereof,  apply  for  re- 
lief in  the  circuit  court  of  the  city  of  i  Eichmond.  Notice  of  the  appli- 
cation setting  forth  the  ground  of  complaint,  verified  by  affidavit,  if 
the  appeal  be  taken  by  any  such  railway  or  canal  corporation,  shall  be 

served  on  the ,  and  on  the  attorney 

general,  whose  duty  it  shall  be  to  represent  the  Commonwealth,  or,  if  the 
appeal  be  taken  by  the  State  or  any  county,  city  or  town,  notice  of  the 
application,  setting  forth  the  grounds  of  complaint,  shall  be  served  on 
such  railway  or  canal  corporation.  Such  appeals  may  be  heard  in  term 
or  vacation  of  said  court  and  shall  take  precedence  of  all  other  cases 
on  its  docket  and  be  heard  as  promptly  as  possible.  Upon  such  hear- 
ing, after  the  admission  of  all  such  legal  evidence  as  shall  be  offered  by 
any  party  in  interest,  if  the  court  shall  be  of  the  opinion  that  the  assess- 
ment is  excessive  it  shall  reduce  the  same,  but  if  of  opinion  that  it  is 
insufficient,  shall  increase  the  same,  and  in  either  case  the  court  shall 


164  Report  of  Committee  on  Tax  Revision. 

forthwith  certify  such  corrected  assessment  to  the  auditor  of  public- 
accounts.  Provided,  however,  that  the  pendency  of  any  such  appeal  on 
its  application  shall  not  excuse  any  such  railway  or  canal  corporation 
from  the  payment  of  the  taxes  extended  against  it  on  the  basis  of  the 
original  assessment  when  such  taxes  shall  become  due  and  payable 
under  the  provisions  of  this  act,  but  said  taxes  may  be  paid  under  pro- 
test and  unless  so  paid,  if  the  decision  is  adverse  to  such  applicant,  the 
court  shall  in  disallowing  the  application  give  judgment  against  the 
applicant  for  the  said  taxes  so  extended,  and  the  taxed  costs  of  such 
procedure,  and  in  addition  thereto,  a  sum,  by  way  of  damages,  equal 
to  interest  at  the  rate  of  one  per  centum  per  month  upon  the  amount  of 
said  taxes  from  the  time  same  were  payable.  If  the  decision  shall  be 
in  favor  of  such  railway  or  canal  corporation,  appropriate  relief  shall 
be  granted,  including  the  right  to  recover  any  excess  of  taxes  which 
may  have  been  paid,  with  legal  interest  thereon  and  the  taxed  costs  of 
such  proceeding,  from  the  State  or  local  authorities,  or  both,  as  the  case 
may  be.  In  all  such  cases  the  judgment  of  the  court  to  be  enforceable 
by  mandamus,  or  other  proper  process,  issuing  from  the  court  finally 
adjudicating  the  application.  The  Supreme  Court  of  Appeals  may,  sub- 
ject to  the  provisions  of  article  six  of  the  Constitution,  allow  a  writ  of 
error  to  either  party. 

The  board  6f  supervisors  for  each  county,  and  the  council  of  every 
city  or  town  wherein  any  of  the  property  assessed  under  this  act  is 
situated,  shall,  within  ten  days  after  the  county,  district,  and  city  levies 
are  laid  for  the  year,  and  not  later  than  August  first  of  each  year,  certify 
to  the  auditor  of  public  accounts  through  their  respective  clerks  or  other 
recording  officers,  the  amount  levied  upon,  each  one  hundred  dollars 
value  of  real  estate  and  personal  property  in  each  such  county,  city, 
town  and  district  for  all  purposes  of  taxation.  In  the  event  any  such 
clerk,  recorder  or  other  recording  officer  shall  fail  to  report  such  rate 
within  the  time  prescribed,  the  said  auditor  shall  take  immediate  steps 
to  obtain  said  information  from  any.  other  source  which  to  him  shall 
be  available.  Any  such  clerk,  recorder,  or  other  recording  officer  of  any 
county,  city  or  town  who  shall  fail  to  perform  any  of  the  duties  herein 
required  of  him  shall  be  guilty  of  a  misdemeanor,  and  fined  not  less  than 
one  hundred  dollars  nor  more  than  three  hundred  dollars. 

As  soon  as  possible  after  the  assessment  of  the  property  of  such  rail- 
way or  canal  corporation  is  made,  and  after  he  shall  have  obtained  the 
information  herein  provided  for,  to  enable  him  to  do  so,  the  said  auditor 
shall  extend  the  taxes  on  said  assessment  and  charge  the  said  corpora- 
tions with  the  whole  amount  of  taxes  properly  chargeable  thereon  for 
each  county,  city,  town  and  district  wherein  any  of  such  property  is 
situated,  according  to  the  respective  valuations  and  rate  of  taxation  in 
each  such  locality  and  shall  enter  same  in  detail  in  a  book  kept  by  him 
for  that  purpose,  and  it  shall  be  the  duty  of  the  auditor,  as  promptly 
as  possible,  to  certify  to  the  board  of  supervisors  of  each  county,  and  to 
the  council  of  each  city  and  town  in  which  any  such  property  is  situated, 
a  statement  of  the  amount  of  said  taxes  so  extended  and  charged  by 
him  in  favor  of  such  locality. 

The  auditor  shall  as  soon  as  possible  after  the  said  taxes  have  been 


Chapter  IV — Public  Service  Corporations.  165 

extended  and  charged  as  aforesaid,  make  out  and  transmit  by  mail  or 
otherwise  to  such  railway  or  canal  corporation  a  statement  of  all  taxes 
and  levies  so  charged  and  it  shall  be  the  duty  of  such  corporation  so  as- 
sessed and  charged  to  pay  the  whole  amount  of  such  taxes  and  levies 
into  the  treasury  of  the  State  by  the  first  day  of  December  next  after 
they  are  so  assessed  and  charged.  If  any  such  corporation  fail  to  pay  such 
taxes  and  levies  by  said  December  first  the  auditor  shall  add  five  per 
centum  to  the  amount  thereof.  Such  taxes  so  assessed,  and  the  penalty 
in  addition  thereto  of  five  per  centum  of  the  said  taxes  if  the  taxes  be 
not  paid  at  the  time  hereinbefore  provided,  shall  be  collected  by  the 
treasurer  or  other  collecting  officer  of  any  county,  city,  or  town  in  which 
such  corporation  owns  property,  to  whom  the  auditor  may  deliver  a 
copy  of  the  assessment.  The  treasurer  so  designated  may  distrain  and 
sell  any  personal  property  of  such  corporation  to  enforce  the  collection 
of  such  taxes  and  penalty,  and  shall  pay  the  amount  of  the  said  tax  and 
penalty  into  the  State  treasury  within  one  month  from  the  time  of  de- 
livery to  him  of  the  copy  of  assessment  as  aforesaid. 

No  injunction  shall  be  awarded  by  any  court  or  judge  to  restrain  the 
collection  of  the  taxes  assessed  and  levied  under  this  act,  except  upon 
the  grounds  that  the  assessment  thereof  was  in  violation  of  the  Consti- 
tution of  the  United  States  or  of  this  State;  or  that  same  was  fraudu- 
lently assessed  or  that  there  was  a  mistake  made  by  the  auditor  in  the 
amount  of  taxes  properly  chargeable  on  the  property  in  question;  and  in 
the  latter  case  no  such  injunction  shall  be  awarded  unless  application 
shall  first  be  made  to  the  auditor  to  correct  the  mistake  complained  of, 
which  shall  be  definitely  set  out,  and  the  auditor  shall  refuse  to  do  so, 
which  fact  shall  be  stated  in  the  bill,  nor  unless  the  complainant  pay 
into  the  State  treasury  all  taxes  appearing  by  the  bill  of  complaint  to 
be  owing. 

When  the  said  taxes  assessed  and  collected  under  this  act  shall  have 
been  paid  into  the  State  treasury,  forty-five  per  cent,  thereof  shall  be  re- 
tained in  the  said  State  treasury,  whereof  an  amount  equal  to  ten  cents 
on  every  hundred  dollars  of  the  entire  valuation  of  the  said  property 
so  assessed  shall  be  applied  to  the  support  of  the  public  free  schools 
of  this  State,  and  an  amount  equal  to  five  cents  on  every  hundred  dollars 
of  such  valuation  shall  be  applied  to  the  payment  of  pensions  and  the 
remainder  of  said  taxes  so  retained  in  the  State  treasury  shall  be  applied 
to  the  support  of  the  government. 

And  the  auditor  shall  remit  by  warrant  drawn  by  him  on  the  State 
treasury  to  the  treasurer  of  each  county,  city  and  town  wherein  any  of 
the  property  assessed  under  the  provisions  of  this  act  is  situated  fifty-five 
per  cent,  of  the  taxes  assessed  and  extended  on  such  property,  in  each  such 
locality,  notice  of  which  shall  be  given  by  the  auditor  to  the  council  of 
each  such  city  and  town  and  to  the  board  of  supervisors  of  each  such 
county,  arid  the  taxes  so  remitted  shall  be  credited  in  proper  proportions 
to  the  different  revenue  funds  in  the  several  counties,  cities  and  towns 
and  the  different  districts  in  said  counties,  according  to  the  assessed 
valuation  of  said  property  and  the  rate  on  which  taxes  were  extended 
therein  in  each  such  county,  or  city  and  subdivision  thereof. 

In  the  assessment  of  the  property  as  authorized  under  this  act  where 


166  Report  of  Committee  on  Tax  Revision. 

the  railroad  of  any  railway  corporation  lies  in  two  or  more  counties,  or 
cities  or  towns,  of  this  State,  the  assessed  value  of  its  rolling  stock  must 
be  apportioned  among  them  so  that  a  portion  thereof  shall  be  assessed 
in  each  county,  city  and  town  through  which  said  railroad  runs,  and 
the  portion  of  each  county,  city  and  town  must  bear  to  the  assessed  value 
of  the  whole  rolling  stock  the  same  ratio  which  the  number  of  miles  of 
such  railroad  in  such  county,  city  or  town  bears  to  the  whole  number  of 
miles  lying  in  this  State. 

The  taxes  provided  for  in  this  act  shall  be  in  lieu  of  all  other  taxes 
or  license  charges  whatsoever  upon  the  franchises  and  properties  of  such 
corporations,  and  on  the  shares  of  stock  issued  by  it;  provided,  that 
nothing  herein  contained  shall  exempt  such  corporations  from  the  annual 
fee  required  by  section  one  hundred  and  fifty-seven  of  the  Constitution 
or  from  assessments  for  street  and  other  local  improvements  authorized 
by  section  one  hundred  and  seventy  of  the  Constitution. 

All  taxes  and  levies  shall,  until  paid,  be  a  lien  upon  the  property 
within  this  State  of  the  corporation  owning  same,  and  take  precedence 
of  all  other  liens. 

NOTE — The  blanks  in  this  bill  to  be  filled  by  inserting  the  State 
Corporation  Commission  or  the  Virginia  Tax  Commission  as  may  be  de- 
termined by  the  general  assembly. 


Chapter  IV — Public  Service  Corporations.  167 

A  BILL 
WATER,  HEAT,  LIGHT  AND  POWER  COMPANIES. 

TAX  BILL: 

Sec.  28V2.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That 
each  and  every  corporation  doing  business  in  Virginia  for  the  purpose 
of  furnishing  water,  heat,  light  or  power,  by  whatever  means,  shall,  on 
or  before  September  first  of  each  year,  report  to  the  State  corporation 
commission  all  of  its  real  and  personal  property  of  every  description  in 
this  State  belonging  to  it  on  the  thirtieth  day  of  June  next  preceding, 
showing  particularly  in  what  city,  town,  county  and  school  district  the 
property  is  located;  in  which  said  report  shall  be  included  all  water 
power  rights  and  privileges,  dams,  flumes  and  canals.  This  report  shall 
be  itemized  as  hereinafter  set  out.  Each  such  corporation  shall  also 
report  its  gross  receipts  for  business  done  in  Virginia  for  the  year  ending 
on  the  thirtieth  day  of  June  next  preceding.  The  reports  herein  re- 
quired shall  be  verified  by  the  oath  of  the  president  or  other  proper 
officer  or  person  making  the  same.  The  State  corporation  commission 
shall,  after  thirty  days  notice  previously  given  to  the  president  or  other 
proper  officer  or  person,  assess  the  value  of  the  property  of  each  such 
corporation,  and  shall  assess  the  franchise  tax  as  hereinafter  provided 
for.  Should  any  such  corporation  fail  to  make  the  reports  required  by 
this  section  on  or  before  the  first  day  of  September  of  each  year,  the 
State  corporation  commission  shall,  at  such  time  as  it  may  elect,  upon 
the  best  and  most  reliable  information  that  can  be  procured,  assess  the 
value  of  the  property  of  such  corporation  and  shall,  in  the  execution 
of  such  duties,  be  authorized  and  empowered  to  send  for  persons  and 
papers,  and  administer  an  oath  to  witnesses  and  examine  the  same.  The 
State  corporation  commission  shall  assess  upon  the  said  property  the 
lax  imposed  thereon  by  law  and  the  franchise  tax  imposed  by  this  act. 
A  certified  copy  of  the  assessment  when  made  shall  be  immediately 
forwarded  by  the  clerk  of  the  State  corporation  commission  to  the  auditor 
of  public  accounts  and  to  the  president  or  other  proper  officer  of  each 
such  corporation,  and  such  corporation  shall  pay  into  the  treasury  of 
the  State  by  the  first  day  of  December  following  the  taxes  assessed 
against  it.  It  shall  be  the  duty  of  the  clerk  of  the  State  corporation 
commission  to  furnish  to  the  council  of  every  city  and  town  and  to  the 
board  of  supervisors  of  every  county  wherein  any  property  belonging  to 
such  corporation  is  situated  a  certified  copy  of  the  assessment  made  by 
the  State  corporation  commission  of  such  company's  property,  which 
assessment  shall  definitely  show  the  character  of  the  property,  its  value 
and  location  for  the  purposes  of  taxation,  in  each  city,  town,  county  and 
district,  so  that  city,  town,  county  and  district  levies  may  be  imposed 
upon  the  same;  provided,  however,  that  it  shall  be  the  duty  of  the  division 


168  Report  of  Committee  on  Tax  Revision. 

superintendent  of  public  schools  in  each  county  in  which  any  such  cor- 
poration set  forth  in  this  act  does  business  or  owns  property,  on  or 
before  the  first  day  of  July  of  each  year,  to  furnish  each  such  corpora- 
tion the  boundaries  of  the  school  districts  of  the  said  county  wherein 
any  such  property  is  situated  or  business  done.  Any  such  corporation 
failing  to  pay  the  tax  into  the  treasury  within  the  time  herein  prescribed, 
shall  incur  a  penalty  thereon  of  five  per  centum,  with  interest  as  pre- 
scribed by  law,  which  shall  be  added  to  the  amount  of  said  tax.  Any 
such  company  which  shall  fail  to  make  the  report  hereinbefore  required, 
within  the  time  herein  prescribed,  shall  be  liable  to  a  fine  of  not  less 
than  twenty-five  nor  more  than  one  hundred  dollars  for  each  day  such 
company  may  be  in  default  in  making  such  report,  the  said  fine  to  be 
imposed  and  judgment  entered  therefor  by  the  State  corporation  com- 
mission after  thirty  days'  notice  to  any  such  defaulting  corporation  to 
appear  before  said  commission,  and  show  cause,  if  any,  against  the 
imposition  of  such  fine,  subject  to  appeal  to  the  Supreme  Court  of 
Appeals. 

(1)  For  the  purpose  of  aiding  the  State  corporation  commission  in 
making  assessments  for  taxation  the  said  corporations  shall  include  in 
their  reports  to  the  said  commission  specifically  the  items  of  their  prop- 
erty situated  in  Virginia  on  said  June  thirtieth  of  each  year,  as  follows : 

(a)  All  electric  light  and  power  companies  shall,  to  the  extent  that 
the  property  hereinafter  particularly  set  forth  is  situated  in  Virginia, 
report  to  the  State  corporation  commission  the  following  property,  which 
shall  be  particularly  set  forth  in  said  report;  the  number  of  feet  of 
conductor  or  cable,  number  of  conductors,  insulation,  size  of  conductor 
and  standard  of  gauge,  total  cost  of  conductor  installed,  number,  kind, 
height,  diameter  at  top,  average  age,  cost,  including  arms  and  insulators 
of  poles  carrying  conductors;  number,  kind  and  total  cost  of  lamp  poles 
erected;  number  of  arc  lamps,  type,  capacity  in  amperes,  and  total  cost 
of  same;  number  of  incadescent  lamps,  candle  power,  and  total  cost 
of  same;  number  of  transformers,  capacity  of  each  in  kilowatts,  and  the 
total  cost  of  same  installed;  length  in  feet  and  size  of  each  conduit, 
number  of  ducts,  type  of  ducts,  number  of  duct  feet  in  each  size  conduit, 
character  of  excavation,  manner  in  which  the  ducts  are  laid,  number  of 
manholes  and  handholes,  size  and  character  of  manholes  and  handholes, 
character  and  number  of  square  yards  of  paving  and  total  cost  of  each 
conduit;  the  number  of  feet  of  cable  in  each  conduit,  number  of  con- 
ductors, character  of  insulation,  working  pressure,  size  and  standard  of 
gauge,  total  cost  of  cable  installed  with  junction  boxes,  and  the  number, 
type  and  total  cost  of  junction  boxes  installed;  the  number  and  capacity 
in  kilowatts  of  subway  transformers  and  the  total  cost  of  subway  trans- 
formers installed. 

The  amount,  character,  cost  and  fair  market  value  of  all  other  real 
and  personal  property  and  where  located. 

(b)  All  corporations  manufacturing  and  furnishing  gas  shall,  to  the 
extent  that  the  property  hereinafter  particularly  set  forth  is  situated  in 
Virginia,  report  in  detail  all  of  their  mains,  together  with  their  diameter, 
length  and  material  of  which  made,  the  depth  laid  of  mains,  the  kind 
of  soil  or  rock  excavated  for  same,  the  age,  cost  per  foot,  including 


Chapter  IV— Public  Service  Corporations.  169 

paving,  kind  of  paving  and  total  cost  as  laid;  the  number,  size,  age, 
and  cost  of  each  installed  valve  and  curb  box,  and  the  total  cost  of  same ; 
the  number,  diameter  in  inches,  length  in  feet,  cost  per  foot,  including 
paving,  and  total  cost  of  services,  including  meters;  number  of  street 
lamps,  cost  of  same  installed. 

The  amount,  character,  cost  and  fair  market  value  of  all  other  real 
and  personal  property  and  where  located. 

(c)  All  corporations  furnishing  and  selling  water  shall,  to  the  extent 
that  the  property  hereinafter  particularly  set  forth  is  situated  in  Vir- 
ginia, report  in  detail  all  of  their  mains,  together  with  their  diameter, 
length  and  material  of  which  made,  the  depth  laid,  and  the  kind  of 
soil  or  rock  excavated,  the  age  and  cost  per  foot,  including  paving,  kind 
of  paving,  and  total  cost  of  said  mains;  the  number,  size,  age  and  cost 
of  each  gate  installed,  and  the  total  cost  of  gates  installed;  the  number, 
size,  age,  and  cost  of  each  hydrant  and  sewer,  and  the  total  cost  of  hy- 
drants and  sewers  installed;  the  number,  diameter  in  inches,  length  in 
feet,  cost  per  foot,  including  paving,  of  each  service,  and  the  total  cost 
of  service.  The  amount,  character,  cost  and  fair  market  value  of  all 
other  real  and  personal  property  and  where  located. 

And  in  case  any  such  corporation  shall  be  unable  to  furnish  any  one 
or  more  of  the  details  required  to  be  reported  or  contained  in  any  of 
the  said  schedules,  and  shall  submit  to  the  corporation  commission  satis- 
factory evidence  of  its  inability  to  do  so,  the  corporation  commission  may 
relieve  such  corporation  from  reporting  any  such  detail  as  it  may  be 
unable  to  report  or  furnish;  provided,  however,  that  such  inability  on 
the  part  of  the  corporation,  or  such  relief  by  the  corporation  commission, 
shall  not  have  the  effect  of  exempting  any  such  corporation  from  liability 
to  full  taxation  under  this  act. 

(2)  Railway  companies,  which,  in  addition  to  operating  a  railroad, 
also  sell  heat,  light  or  power  within  this  State,  shall  come  within  the 
provisions  of  this  act.     The  value  of  the  plant  of  each  such  company 
shall  be  apportioned  as  between  its  heating,  lighting  and  power  business 
on  the  one  hand,  and  its  railroad  business  on  the  other  hand,  upon  the 
basis  of  its  gross  receipts  from  each  department,  and  each  such  company 
shall  segregate  its  gross  receipts  from  the  sale  of  heat,  light  and  power 
from  its  gross  receipts  from  its  railroad,  and  report  its  gross  receipts 
from  the  sale  of  heat,  light  and  power  to  the  State  corporation  com- 
mission, and  pay  the  property  and  license  tax  as  herein  provided. 

(3)  Every  corporation  coming  within  the  provisions  of  this  act,  shall 
pay  to  the  State  an  annual  State  franchise  tax,  equal  to  one  per  centum 
of  its  gross  receipts  on  business  done  in  Virginia,  for  the  privilege  of 
exercising  its  franchises  in  this  State,  which,  with  the  taxes  hereinbefore 
provided  for,  shall  be  in  lieu  of  all  taxes  or  license  charges  whatsoever 
upon  the  franchises  of  such  corporations  and  the  shares  of  stock  issued 
by  it,  and  upon  all  its  property  as  hereinbefore  provided ;  provided,  that 
nothing  herein  contained  shall  exempt  such  corporation  from  the  annual 
fee  required  by  section  one  hundred  and  fifty-seven  of  the  Constitution, 
or  from  assessments  for  street  and  other  local  improvements,  which  shall 
be  authorized  by  law,  or  from  the  county,  city,  town,  district  or  road 


170  Report  of  Committee  on  Tax  Revision. 

levies  hereinbefore  provided  for;  and  provided,  further,  that  nothing 
herein  contained  shall  annul  or  interefere  with  or  prevent  any  contract 
or  agreement  by  ordinance  between  such  corporations  and  municipalities 
as  to  compensation  for  the  use  of  the  streets  or  alleys  of  such  munici- 
palities by  such  corporations. 

The  real  and  personal  property  of  such  corporation,  other  than  its 
franchise,  shall  be  assessed  on  the  valuation  fixed  by  the  State  corpora- 
tion commission,  with  county,  city,  town,  district  and  road  levies,  at 
the  same  rate  as  real  and  personal  property  of  natural  persons  are  as- 
sessed with  such  levies. 

No  State  tax,  county,  city,  town,  district  or  road  levy  shall  be  laid 
on  the  net  income  of  any  such  corporation,  nor  shall  any  county,  city, 
town,  district  or  road  lev}7  be  laid  on  the  gross  receipts  of  any  such 
company. 

All  taxes  and  levies  shall,  until  paid,  be  a  lien  upon  the  property 
within  this  State  of  the  corporation  owning  the  same,  and  take  pre- 
cedence of  all  other  liens  or  encumbrances. 

Any  such  corporation,  or  the  State  or  any  county  or  city,  at  the 
instance  of  the  attorney  general  of  the  State,  or  of  the  Commonwealth's 
attorney,  for  any  county  or  city  aggrieved  by  the  assessment  and  as- 
certainment of  such  taxes,  may,  within  thirty  days  after  receiving  a 
certified  copy  thereof  apply  for  relief  to  the  circuit  court  of  the  city 
of  Eichmond.  Notice  of  the  application  setting  forth  the  grounds  of 
complaint,  verified  by  affidavit,  if  the  appeal  be  taken  by  any  such 
corporation,  shall  be  served  on  the  State  corporation  commission,  and 
on  the  attorney  general,  whose  duty  it  shall  be  to  represent  the  Com- 
monwealth, or  if  the  appeal  be  taken  by  the  State,  or  any  county  or 
city,  notice  of  the  application,  setting  forth  the  grounds  of  complaint, 
shall  be  served  on  such  corporation.  If  the  court  be  of  the  opinion  that 
the  assessment  or  tax  is  excessive,  it  shall  reduce  the  same,  but  if  of 
the  opinion  that  it  is  insufficient,  it  shall  increase  the  same.  Unless 
the  applicant  pay  the  taxes  under  protest  when  due,  the  court,  if  the 
decision  is  adverse  to  the  applicant,  shall,  in  disallowing  the  applica- 
tion, give  judgment  against  it  for  the  taxes  assessed  by  the  State  cor- 
poration commission,  and  for  a  sum,  by  way  of  damages,  equal  to 
interest  at  the  rate  of  one  per  centum  per  month  upon  the  amount  of 
the  taxes  from  the  time  same  were  payable.  If  the  decision  is  in  favor 
of  such  corporation,  in  whole  or  in  part,  appropriate  relief  shall  be 
granted,  including  the  right  to  recover  any  excess  of  taxes  that  may 
have  been  paid  with  legal  interest  thereon,  and  the  legally  taxable  cost 
ol  said  application  from  the  State  or  local  authorities,  or  both,  as  the 
case  may  be,  the  judgment  to  be  enforceable  by  mandamus  or  other 
proper  process,  issuing  from  the  court  finally  adjudicating  the  applica- 
tion. If  the  decision  be  in  favor  of  the  State,  or  any  county  or  city, 
appropriate  relief  shall  be  granted,  and  the  court  shall  enforce  its  judg- 
ment by  mandamus  or  other  proper  process. 

The  Supreme  Court  of  Appeals  may,  subject  to  the  provisions  of 
article  six  of  the  Constitution,  allow  a  writ  of  error  to  either  party. 


Chapter  IV — Public  Service  Corporations.  171 


jSToTE — In  the  event  the  plan  proposed  for  partial  segregation  is 
adopted  by  the  general  assembly,  this  bill  should  be  amended  as  follows : 

Page  167,  lines  24  and  25.  Strike  out  the  words  "upon  the  said 
property  the  tax  imposed  by  law  and." 

Page  169,  line  42,  section  three.  Strike  out  the  word  "hereinbefore" 
and  insert  in  lieu  thereof  the  word  "hereinafter" 


Report  of  Committee  on  Tax  Revision. 


A  BILL 
EXPRESS  COMPANIES  AND  CAR  SERVICE  COMPANIES. 

TAX  BILL. 

Sec.  29  :  All  companies  doing  express  business  on  any  railroad,. 
steamboat  or  vessel  in  this  State;  all  refrigerator,  oil,  stock,  fruit  and 
other  car  loaning,  and  other  car  companies,  operating  upon  the  railroads 
in  this  State,  except  sleeping  car,  dining  car,  drawing  room  car  and 
palace  car  companies,  shall  annually  pay  to  the  State  a  tax  upon  their 
franchises,  rolling  stock  and  other  property  or  any  part  thereof  used 
exclusively  in  the  operation  of  their  business  in  this  State,  computed 
as  follows: 

1.  Said  tax  shall  be  equal  to  the  percentages  hereinafter  fixed  upon 
the  gross  receipts  from  operation  of  such  companies  and  each  of  themr 
within  this  State.     When  such  companies  are  operating  partly  within 
and  partly  without  this  State,  the  gross  receipts  within  this  State  shall 
be  deemed  to  be  all  receipts  on  business  beginning  and  ending  within 
this   State,   and  all  receipts  earned  in  Virginia  on   business   passing 
through,  into  or  out  of  this  State  ;  provided,  that  unless  otherwise  clearly 
ihown,  such  last  mentioned  receipts  shall  be  deemed  to  be  that  propor- 
tion of  the  total  receipts  from  such  business  which  the  entire  mileage 
over  which  such  business  is  done  bears  to  the  mileage  operated  within 
this  State. 

The  percentages  above  mentioned  shall  be  as  follows  : 

On  all  companies  doing  express  business  within  this  State,  twa 
per  cent. 

On  all  refrigerator,  oil,  stock,  fruit  and  other  car  loaning  and  car 
companies,  except  sleeping  car,  dining  car,  drawing  room  car  and  palace 
car  companies,  four  per  cent;  the  amount  of  such  taxes  shall  be  in  lieu 
of  all  other  taxes  and  licenses,  State,  county  and  municipal  upon  all 
the  property,  franchises  and  privileges  of  said  companies,  subject  to  the 
provisions  hereinafter  stated,  but  shall  not  release  said  companies  front 
the  payment  of  an  annual  registration  fee. 

2.  Each  of  said  companies  hereinbefore  enumerated  shall  report  an- 
nually, on  or  before  September  first,  to  the  Virginia  State  corporation 
commission  in  such   detail   as  the  said  corporation   commission   shall 
require. 

(a)  All  of  its  real  and  personal  property  of  every  description  in  this 
State  belonging  to  it  on  the  thirtieth  day  of  June  next  preceding,  show- 
ing particularly  in  what  county,  city,  town  and  school  district  the  prop- 
etry  is  located  and  the  cost  and  present  market  value  of  said  proper!  \. 


Chapter  IV — Public  Service  Corporations.  173 

(b)  The  total  number  of  miles  operated  within  and  without  this 
State  for  the  year  ending  June  thirtieth  next  preceding. 

(c)  The  gross  receipts  from  operation  entirely  within  this  State,  and 
if  operations  are  partly  within  and  partly  without  this  State,  the  entire 
gross  receipts  from  operation  for  the  year  ending  June  thirtieth  next  pre- 
ceding. 

(d)  Any  and  all  other  information,  in  such  manner  and  in  such 
detail,  as  the  Virginia  State  corporation  commission  shall  require. 

The  said  corporation  commission  shall  after  thirty  days  notice  pre- 
viously given  by  it  to  the .  president  or  other  proper  officer,  assess  the 
value  of  the  property  of  each  of  such  companies,  and  the  amount  of 
its  gross  revenue  on  the  basis  hereinafter  provided.  Should  any  such 
company  fail  to  make  the  report  required,  on  or  before  the  first  day 
of  September,  the  said  corporation  commission  shall  at  such  time  as  it 
may  elect,  upon  the  best  and  most  reliable  information  that  can  be 
procured  assess  the  value  of  the  property  of  such  company  within  thia 
State,  and  ascertain  and  fix  the  gross  income  from  its  operations  within 
this  State,  and,  in  the  execution  of  this  duty  shall  be  authorized  and 
empowered  to  take  testimony,  summon  and  compel  the  attendance  of 
witnesses,  and  send  for  persons  and  papers.  A  certified  copy  of  the 
assessment,  when  made,  shall  be  immediately  forwarded  by  the  clerk 
of  the  State  corporation  commission  to  the  auditor  of  public  accounts 
and  the  president  or  other  proper  officer  of  each  company,  and  to  the 
council  of  each  city  and  town,  and  to  the  board  of  supervisors  of  each 
county  wherein  any  property  belonging  to  such  company  is  situated. 
Said  assessment  shall  definitely  show  the  character  of  the  property,  its 
value  and  location  for  the  purpose  of  taxation  in  each  city,  town,  county 
and  district  as  other  properties  of  like  character  are  taxed  in  the  re- 
spective localities  for  county,  city,  town  and  district  purposes;  provided, 
however,  that  it  shall  be  the  duty  of  the  division  superintendent  of 
public  schools  in  each  county  in  which  any  such  company  owns  property, 
on  or  before  the  first  day  of  July  of  each  year,  to  furnish  to  each  of  said 
companies  the  boundaries  of  the  school  districts  of  said  county  wherein 
any  such  property  is  situated. 

Any  such  company  which  shall  fail  to  make  the  report  required 
within  the  time  prescribed  shall  be  liable  to  a  fine  of  not  less  than  twenty- 
five  dollars  nor  more  than  one  hundred  dollars  for  each  day  such  com- 
pany may  be  in  default  in  making  such  report;  the  said  fine  to  be  im- 
posed and  judgment  entered  therefor  by  the  said  corporation  commission 
after  thirty  days  notice  to  any  such  defaulting  company  to  appear  before 
the  said  commission  and  show  cause,  if  any,  against  the  imposition  of 
such  fine,  subject  to  appeal  to  the  Supreme  Court  of  Appeals  of  Virginia. 

3.  Each  and  every  of  said  companies  doing  business  in  this  State 
shall  pay  to  the  several  counties,  cities  and  towns  of  the  State  wherein 
they  may  have  taxable  properties  located,  the  taxes  levied  on  said  prop- 
erty, at  the  respective  county  and  municipal  rates,  and  the  aggregate 
eum  of  said  taxes  so  paid  to  the  said  counties  and  municipalities  shall 
be  deducted  from  the  State  taxes  on  the  gross  receipts  as  hereinbefore 
provided,  and  the  remainder  of  said  State  tax  shall  be  paid  into  the 


174  Report  of  Committee  on  Tax  Revision. 

treasury  of  this  State  on  or  before  the  first  day  of  December  of  each 
and  every  year. 

4.  The  county  and  city  treasurers,  and  other  officers  whose  duty  it 
shall  be  to  collect  the  taxes  in  the  various  counties,  cities  and  towns, 
where  any  -taxes  are  levied  against  any  of  the  companies  hereinbefore 
enumerated,  shall  annually  report  to  the*  clerk  of  the  Virginia  State 
corporation  commission  on  or  before  November  fifteenth  of  each  year, 
the  amount  of  such  taxes  levied  against  said  companies  and  each  of 
them  in  their  respective  localities. 

5.  Any  such  company  failing  to  pay  said  taxes  within  the  time  herein 
prescribed  shall  incur  a  penalty  of  five  per  centum  and  interest  as  pre- 
scribed by  law,  which  shall  be  added  to  the  amount  of  said  taxes. 

6.  All  taxes  and  levies  under  this  act  shall,  until  paid,  be  a  lien  upon 
the  property  within  this  State  of  the  company  owning  the  same,  and 
shall  take  precedence  over  all  other  liens  or  encumbrances. 


Chapter  IV — Public  Service  Corporations.  175 

A  BILL 
SLEEPING  CAR,  PARLOR  CAR,  OR  DINING  CAR  COMPANIES. 

TAX  BILL. 

Sec.  33.  Each  and  every  sleeping  car,  parlor  car  and  dining  car 
company  doing  business  in  this  State  shall  for  the  privilege  of  doing 
business  in  this  State  pay  a  license  tax  as  follows : 

Each  and  every  sleeping  car,  parlor  car  and  dining  car  company 
operating  a  mileage  and  doing  business  within  this  State  shall  pay  a 
license  tax  of  three  dollars  for  each  and  every  mile  of  track  over  which 
it  operates  its  cars  in  this  State. 

And  no  sleeping  car,  parlor  car  or  dining  car  company  which  shall 
have  paid  the  privilege  tax  hereby  imposed  shall  be  required  to  pay  any 
additional  tax  to  the  State  except  its  annual  registration  fee. 


Report  of  Committee  on  Tax  Revision. 


CHAPTER  V. 
TAXATION  OF  INSURANCE  COMPANIES. 


At  present  the  revenue  derived  by  government  from  those  engaged 
in  the  business  of  insurance  is  made  up  of  a  multitude  of  different  fees, 
charges  and  taxes.  Every  insurance  company  must  pay  the  charter  fees, 
franchise  and  registration  charges  required  of  all  corporations;  it  pays 
a  license  tax  of  two  hundred  dollars  to  the  State ;  it  pays  another  tax  for 
the  support  of  the  Bureau  of  Insurance,  and  a  $5.00  annual  fee  for  a 
license  certificate;  it  makes  a  small  payment  for  the  care  of  the  securities 
which  it  is  required  by  law  to  deposit  with  the  Treasurer;  it  pays  on  its 
real  estate  and  tangible  property;  it  pays  a  State  tax  levied  on  premium 
income ;  it  must  make  to  each  municipality  for  the  privilege  of  transacting 
business  a  license  payment,  which  varies  from  place  to  place  in  form 
and  amount,  but  which  is  usually  levied  without  regard  to  the  amount 
of  business  done;  and,  in  addition  to  all  this,  a  company  chartered  by 
Virginia  must  pay  under  a  statute,  that  is  obscurely  worded  and  difficult 
of.  construction,  a  tax  on  its  capital  to  the  State  and  to  the  locality 
where  it  has  its  home  office.  For  the  five  Virginia  companies  with 
headquarters  in  Richmond  the  tax  on  capital  alone  in  1913  was: 

Company  State  City  Total 

Atlantic  Life  Ins.  Co.... $  '  1,022.84  $        4,298.42  $        5,321.26 

Life  Ins.  Co.  of  Va 2,733 . 82  8,898 . 26  11,632 . 08 

Home  Beneficial  Assn.  ..  584.14  3,401.50  3,985.64 

Va.  Fire  &  Marine 1,750.00  4,172.00  5,922.00 

Mutual  Assurance  Society  1,708 . 59  2,792 . 37  4,500 . 96 


$        7,799.39     $      23,562.55     $      31,361.94 

In  the  Appendix  to  this  Report  will  be  found  a  table  that  shows  the 
whole  amount  of  taxes,  both  State  and  local,  collected  from  each  in- 
surance company  engaged  in  business  in  the  Commonwealth.  Another 
table  follows  it  to  show  for  each  company  its  total  premium  income,  and 
its  premium  income  collected  in  Virginia,  also  its  total  admitted  assets 
and  the  portion  of  those  assets  invested  in  real  estate.  We  present 
here  a  summary  of  these  tables  by  classes  of  companies,  and  add  to  the 
summary  a  column  to  show  the  estimated  apportionment  of  assets  to 
Virginia.  We  base  the  apportionment  of  assets  on  the  ratio  of  the  pre- 
mium income  in  Virginia  to  the  total  premium  income. 


Chapter   V — Taxation  of  Insurance  Companies. 


177 


m 


HH- 

EH 


XI     . 

<j  02 

H  W 


O 


HH 

o  £ 


H 


Pin 


SH 

^  H" 

S  o 

o  ^ 

PH  O 

HH     _. 

UJ  P 

rJl  £H 


P5 


o     i 


Apportioned 
to  Virginia 
on  Basis  of 
Premium 


SS'5 

I  =£ 


3^12 

pit 


CO  lO  lO 


O  CC^O 


u  g    -2" 

1-11 


178  Report  of  Committee  on  Tax  Revision. 

Defects  in  Our  Present  Method. 

From  this  summary  presentation  of  the  ratio  of  taxes  to  premium 
income  and  to  admitted  assets  the  following  facts  become  obvious: 
first,  the  burden  of  taxation  is  very  unequally  distributed  among  the 
different  branches  of  the  business ;  second,  compared  with  the  tax  on  real 
estate,  the  fire  and  marine  insurance  companies  are  paying  too  much 
and  the  life  insurance  companies  too  little. 

Another  very  important  defect  in  our  present  method  consists  in 
the  enormously  greater  burden  borne  by  the  small  companies  with 
relatively  little  business  than  is  borne  by  the  large  companies  with  much 
more  business.  This  defect  becomes  clear  from  the  following  tables : 


Chapter   V — Taxation  of  Insurance  Companies. 


1   *    i 

SSSSSSSoSsS 

—  *  CM 

H 

« 

COCO  C<J  GO 
OQOt^kO 

ss 

sssss 

I 

lllllli 

1 

w 

pq 

CM 

OS 
CM 

iiiii 

Si 

fS 

.s 

1 

ss 

M 

o 

02 

Q 

2 

s 

;      ^s»-i^ 

~'<x 

§ 

8^« 

«m 

'z 

t^-  r*  c^i  ^H  IT 

O  OO  CC  OS 

H^ 

gga 

OSIOOSOOOOCOCO^CC 
OST*tO<M»Or~CMOOCN 

eo  eo  co  os  os  to  o  co  o: 

<5 

1 

•  CNI^OS  S$ 

S^ 

s 

O  QO  CO  1C  i- 

I  — 

OS  C<l  CM  TT 

•^>OCO--J 

I'll 

§CCoo^«cSl2^o5 
CO  CO  CO  tO  CN  O- 

si 

<J 

i 

8 

I        CMCM  t^ 

re  t^ 

8 

J 

^"fln 

s 

Q 

a 

<J 

g 

s 

wjj^jco 

6 

)J 

Sli3s 

lllil 

^  <M  •*  OS  •*  to         CO 

1 

- 

ICM  CM  rt  CO 

(S        ^ 

r^  «-4  CM  CM  •—  <  *—  <  co 

CM  CO  Tf<  ^*  CM  (M  CO      • 
^  OS  CO  to  •*  CO  CO      • 

03 

D 

ss 

tM« 

5  CO  CO  CM  CM 

8 

St^-O  to  00 

g 

55 

s 

1 

O  »M  »—  '  O  CO  CO  OS 

CO  -^<  OJ  to  CO  OS  >O      • 

J5 

sss 

III 

1 

p» 

a 

S  "*  2  g  2  £  g   : 

w 

lp 

ncocooso 

CO 

<5 

1 

«»                     : 

o 

:  :      : 

a 

> 

§ 

s= 

<J 

gSgggS5=  i 

p 
fe 

5S 

;0SgS 

5 

§ 

E 

ill 

>£- 

3    «-H"'4    "^  : 

<J 

?H 

s.= 

K» 

1 

:      : 

p 

03 

1 

o 

z 

*-*««  i 

CMC 

CO  — 

CO  CO  lO  •*« 

- 

§g 

g8 

1s 

is 

<!g 

ww 

D« 

:      : 

CLASSIFIE 
VIRGINIA  I 

Illllilil 

il 

s 

is 

000—499,999  
000—  and  over.. 

000—199,999  
000—299,999  
000—499,999  
000—  and  over... 

MD  *^     ^  S  e«w  « 

o  a 
HP 

2SS8S 

So 

££283 

illl 

180  Report  of  Committee  on  Tax  Revision, 

As  one  explanation  of  the  inequalities  that  have  been  indicated  we 
may  point  to  the  great  number  and  variety  of  payments  now  required. 
Out  of  this  there  grows  necessarily  confusion  and  difficulty  in  ascertaining 
precisely  what  the  tax  burden  actually  is.  But  a  much  more  important 
cause  of  injustice  is  found  in  the  municipal  licenses.  These  licenses 
are  usually  levied  at  a  fixed  sum,  regardless  of  the  amount  of  business 
accomplished,  the  small  companies  and  those  just  entering  the  business 
paying  equally  with  those  that  have  been  long  and  well  established. 
Since  there  are  many  more  fire  than  life  companies  that  take  out  muni- 
cipal licenses,  the  burden  is  greater  on  the  former  branch  of  insurance ; 
and  the  inequality  is  increased  by  the  fact  that  the  premium  income 
from  insurance  of  the  same  amount  is  smaller  for  fire  than  for  life  com- 
panies. 

Remedies  for  the  Present  Defects  of  Method. 

The  mere  statement  of  the  prevailing  defects  in  our  taxation  of  in- 
surance suggests  the  proper  remedies  for  them.  We  recommend  that  the 
municipal  license  charges  be  abolished,  and  that  these  and  other  pay- 
ments be  consolidated  into  one  tax  levied  on  the  gross  incoine  from 
premiums  collected  in  Virginia.  This  tax,  of  course,  would  not; include 
the  charter  fees,  franchise  and  registration  charges.  Xeither  would  it 
include  the  tax  on  any  real  estate  owned  by  a  company;  nor  the  payments 
now  required  for  the  maintenance  of  the  Bureau  of  Insurance  and  for 
the  care  of  securities  deposited  with  the  treasurer.  Tj'he  bill  we  propose 
provides  tl^at  the  tax  shall  be  paid  direct  to  the  State,  and  that  apportion 
of  it  be  returned  to  the  localities  where  the  premiums  are  collected. 
But  if  a  system  of  partial  segregation  be  adopted,  we  regard  ;the  tax 
on  insurance  companies  as  perhaps  better  adapted  than  any  other  to 
the  exclusive  use  of  the  State. 

The  abandonment  of  efforts  to  levy  an  ad  valorem  property  tax  on 
insurance  companies  is  strongly, urged.  The  difficulty  of  taxing' foreign 
companies  by  that  method  is  obvious,  and  yet  it  is  the  foreign  companies 
that  do  most  of  the  work  in  this  field  in  Virginia.  At  the  same  time, 
it  would  be  highly  inexpedient  to  tax  foreign  companies  on  one  basis 
and  domestic  companies  on  another.  In  the  insurance  business  less 
than  in  any  other  is  the  field  of  operation  limited  by  the  legal  situs  of 
the  business  headquarters.  Virginia  companies  compete  both  within  and 
without  the  State  with  companies  chartered  by,  organized  in,  and  di- 
rected from  all  other  states  of;  the  tlnion  and  foreign  countries.  In 
order  that  the  competition  may  be  on  equal  terms  thirty-seven  of  our 
States  have  passed  retaliatory  laws,  which  are  often  difficult  of  inter- 
pretation and  sometimes  unjust  in  operation.  It  is  necessary  in  the 
interest  of.  the  policy  holders,  as  well  as  of  the  companies,  to  bear  in 
mind  this  legislation  and  the  competitive  character  of  the  business  when 
attempting  to  revise  our  methods  of  taxation.  More  than  two-thirds 
of  the  States  now  have  a  tax  on;  gross  premium  income,  and  usually  the 
tax  is  levied  in'  lieu  of  all  others.  The  prevailing  practice,  therefore, 
in  progressive  states  coincides  with  the  conclusion  we  reached  after  a 
careful  study  of  the  business :  that  the  tax  on  premium  incoine  at  prop- 


Chapter   V — Taxation  of  Insurance  Companies.  181 

erly  adjusted  rates  is  the  best  method  of  deriving  revenue  from  this  field 
of  enterprise. 

Classification  of  Companies  and  Tax  Rates. 

Equalization  of  the  burden  on  companies  in  the  different  fields  of  in- 
surance precludes  a  uniform  tax  rate  for  all.  We  therefore  group  them 
into  four  classes,  with  a  view  to  a  fair  rate  adjustment.  The  first  class 
is  composed  of  the  numerous  Fraternal  Orders  that  furnish  protection 
in  some  form  to  their  members.  A  uniform  law  for  the  government  of 
these  Orders,  already  in  force  in  a  number  of  other  states,  was  adopted 
last  winter  by  the  General  Assembly.  Although  they  are  incorporated, 
they  have  no  capital  stock,  are  not  organized  for  profit,  and  conduct 
their  work  through  local  lodges.  They  are  required  to  make  an  annual 
report  to  the  bureau  of  insurance,  and  they  pay  a  moderate  uniform 
license  charge.  It  is  the  policy  of  all  other  states  to  impose  no  addi- 
tional tax  upon  them,  and  this  policy  has  been  reaffirmed  for  Virginia 
by  the  present  General  Assembly. 

With  the  so-called  sick  benefit  companies,  which  compose  the  second 
class,  the  situation  is  different.  They  are  organized  for  gain ;  and  while 
their  costs  are  great  and  the  business  they  do  is  on  a  small  scale  in 
the  individual  case,  yet  their  gross  income  is  very  large,  and  when  honestly 
and  efficiently  conducted  they  yield  a  very  considerable  profit.  We  recom- 
mend a  rate  of  one  per  cent,  on  their  gross  premium  income.  This 
relatively  low  rate,  however,  applies  only  to  companies  issuing  no  policy 
for  more  than  $250.00  and  paying  sick  benefits  that  do  not  exceed 
$10.00  per  week. 

The  third  class  is  made  up  of  life  insurance  companies,  and  the 
fourth  class  embraces  fire  and  marine,  surety,  health  and  accident,  and 
all  others  not  previously  enumerated.  We  have  made  a  separate  class 
of  life  insurance  companies  for  the  reason  that  we  recommend  that  their 
gross  premium  income,  after  deducting  returned  premiums  on  cancelled 
policies,  be  taxed  2.25  per  cent.,  while  for  companies  in  the  fourth 
class  we  recommend  a  rate  of  2.75  per  cent.  This  would  result,  as  our 
tables  show,  in  a  material  reduction  of  the  tax  now  paid  by  fire  and  marine 
and  certain  other  companies  and  an  increase  in  the  tax  on  life  companies. 
As  to  the  justice  of  both  changes,  we  believe  that  our  tables  give  suffi- 
cient evidence. 

Table  III  shows  the  total  yield  of  the  present  taxes  on  insurance 
companies  and  compares  with  it  the  yield  of  the  proposed  tax  if  it  were 
based  on  assessments  for  the  same  year. 

Table  IV  shows  the  yield  of  the  proposed  tax  that  might  be  expected 
in  the  years  1914,  1915  and  1916  based  upon  the  normal  growth  of  the 
business.  This  table  shows  that  the  premium  income  of  all  insurance 
companies  for  1914  will  show  an  increase  of  approximately  $1,700,000.00, 
which  calculated  according  to  classes  will  produce  about  $34.000.00,  so 
that  the  total  tax  on  premium  income  under  the  rate  we  propose  will 
aggregate  approximately  $458,000.00  for  next  year.  Furthermore,  it 
is  worthy  of  attention  that  under  the  operation  of  our  present  retaliatory 
law  an  appreciable  addition  to  our  revenue  will  accrue  from  this  source. 


Report  of  Committee  on  Tax  Prevision. 


O 

o 


g 

02 


co        O 

S  I 

CiiJ  r  j 

o 


c 

PS 


X 


x 

a 


S  :   :  : 

iiri 


10  COO5O 


ssss 


S.S    :-c 

S  S   :S 


Isll 


Chapter  V — Taxation  of  Insurance  Companies. 


383 


ANNUAL  INCREASE  OF  PREMIUM  INCOME  OF  LIFE,  FIRE, 
CASUALTY,  AND  MISCELLANEOUS  AND  SICK  BENEFIT 
COMPANIES  FOR  YEARS  1909  TO  1913  AND  EXPECTED 
PREMIUM  COLLECTIONS  FOR  YEARS  1914  TO  1916. 

LIFE     COMPANIES 


Year 

Premiums  Col- 
lected in  Virginia 
as  Reported 

r> 

ft   Increase    jfc 
»    During 
*    *     Year 

«           *•    9r    9 

Percentage  of 
Previous  Year's 
Collections 

1908 

16,740,138.001 

- 

1909  

7,176,114.00  ' 

,  $435,976.00 

6.468 

1910                                                          .   . 

7,536,336.00 

360,222.00 

5.020 

1911  

8,125,755.00 

589,419.00 

7.821 

1912 

8,628,514.00 

•            502,759.00 

6.187 

1913 

9  292  849  00 

664,335.00 

7.699 

FIRE   AND    MARINE 


1908 

$4  155  958  oo 

1909 

4,261,205.00 

$105,247.00 

2.  552 

1910  

4,332,860.00 

71,655.00 

1.682 

1911   

4,511,586.00 

178,726.00 

4.125 

1912 

4  849  267  00 

337,681  00 

7  485 

1913   

4,984,824.00 

135,557.00 

2.795 

CASUALTY    AND    MISCELLANEOUS 


1908      

$  735,871.00 

1909 

934  213  00 

$198  342  00 

26  953 

1910   

1,050,936.00 

116,723.00 

12.494 

1911 

1,140  131  00 

89,195  00 

8  487 

1912 

1  278  647  00 

138  516  00 

12  149 

1913         

1,427,550  00 

148,903  00 

11  645 

INDUSTRIAL    SICK    BENEFIT 


1908... 
1909 

! 

$   960,899.00 
1,093,378.00                   $132,479.00 
1,348,611.00                     255,233.00 
1,537,273.00    ,                188,662.00 
1,809,949.00                     272,676.00 
2,155,082.00              '      345,133.00 
i 

13.787 
23.344 
13.989 
17.738 
19.073 

1910  

1911                  

1912 

1913  

Life  Companies 

Fire  and  Marine 

Casualty 
and 
Miscellaneous 

Industrial 
Sick 
Benefit 

Premium  income  for  1913  
Premium  income  for  1908  

$9,292,849.00 
6,740,138.00 

$4,984,824.00 
4,155,958.00 

$1,427,550.00 
735,871.00 

$2,155,082.00 
960,899.00 

Increase  in  income  during  5  years.  .  . 
Said  increase  being  equal  to  
Or,  an  average  annual  increase  
Premium  income  for  1914,  1915  and 
1916  based  upon  above  increases. 
For  1914 

$2,552,711.00 
37.873  prct. 
7.575  prct. 

9,996,782.00 
10,700,715.00 
11,404,648.00 

$    828,866.00 
19.944  prct. 
3.989  prct. 

5,183,669.00 
5,382,514.00 
5,581,359.00 

$    691,679.00 
93.995  prct. 
18.799  prct. 

1,695,915.00 
1,964,280.00 
2,232,645.00 

•$1,194,183.00 
124.278  prct. 
24.856  prct. 

2,690,749.00 
3,226,416.00 
3,762,082.00 

1915 

1916  

• 

*  Of  1908  income. 


184  Report  of  Committee  on  Tax  Revision. 


A  BILL 


To  amend  and  re-enact  sections  23,  M  and  26  of  an  act,  entitled  "an 
act  to  raise  revenue  for  the  support  of  the  government  and  public 
free  schools,  and  to  pay  the  interest  on  the  public  debt,  and  to  pro- 
vide a  special  tax  for  pensions  as  authorized  by  section  189  of  the 
Constitution,"  approved  April  16, 1903,  and  acts  amendatory  thereof. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sections 
twenty-three,  twenty-four  and  twenty-six  of  an  act,  entitled  "an  act  to 
raise  revenue  for  the  support  of  the  government  and  public  free  schools, 
and  to  pay  the  interest  on  the  public  debt,  and  to  provide  a  special  tax 
for  pensions  as  authorized  by  section  one  hundred  and  eighty-nine  of 
the  Constitution,"  approved  April  sixteenth,  nineteen  hundred  and  three, 
and  acts  amendatory  thereof,  be  amended  and  re-enacted  so  as  to  read 
as  follows: 

Sec.  23.  Every  person,  partnership,  company  or  corporation,  which 
contracts  on  his.  their  or  its  account  to  issue  policies  or  contracts  for  or 
agreements  for  life,  fire,  marine,  surety,  guaranty,  fidelity,  employer's 
liability,  liability,  credit,  health,  accident,  live  stock,  plate  glass,  tornado, 
automatic  sprinkler,  burglary,  steam  boiler,  and  all  like  insurance,  shall 
pay  an  annual  license  tax  based  on  the  gross  premium  income  derived 
from  business  in  this  State  during  each  year  ending  the  thirty-first  day 
of  December  prior  to  the  year  for  which  such  license  tax  is  to  be  paid 
for  the  privilege  of  doing  business  in  this  State. 

The  license  year  shall  expire  on  the  thirtieth  of  April  of  each  year. 
No  license  shall  be  issued  for  less  than  a  year,  except  to  a  person,  part- 
nership, company  or  corporation,  when  he,  they,  or  it  first  commenced 
business  in  this  State,  in  which  case  the  license  shall  be  issued  for  that 
part  of  the  year  from  the  date  of  the  issuance  of  the  license  to  the 
thirtieth  of  April  following,  and  the  tax  thereon  shall  bear  such  pro- 
portion to  the  annual  license  tax  as  the  space  of  time  between  the  is- 
suance of  the  license  and  the  thirtieth  of  April  following  bears  to  the 
whole  year.  The  license  tax  herein  provided  shall  be  paid  into  the 
State  treasury  on  or  before  the  first  day  of  April  of  each  year,  but  the 
auditor  of  public  accounts  shall  not  receive  the  same  until  the  com- 
missioner of  insurance  has  notified  him  in  writing,  showing  the  amount 
due,  which  information  the  commissioner  of  insurance  shall  furnish 
to  the  auditor  of  public  accounts  on  or  before  the  fifteenth  day  of  March 
of  each  year. 

Every  such  person,  partnership,  company  or  corporation  which  con- 
tracts on  his,  their  or  its  account  to  issue  policies  or  contracts  for  or 
agreements  for  fire,  marine,  surety,  guaranty,  fidelity,  employer's  lia- 
bility, liability,  credit,  health,  accident,  live  stock,  plate  glass,  tornado, 
automatic  sprinkler,  burglary  and  steam  boiler,  and  all  like  insurance, 
shall  pay  into  the  State  treasury,  as  hereinabove  provided,  a  license  tax  of 


Chapter   V — Taxation  of  Insurance  Companies.  1.85 

two  and  three-fourths  per  centum  upon  the  gross  amount  of  all  premiums, 
assessments,  dues  and  fees  collected,  received  or  derived,  or  obligations 
taken  therefor,  from  business  in  this  State  during  each  year  ending  the 
thirty-first  day  of  December,  without  any  deduction  for  dividends  paid, 
or  deduction  on  any  other  account,  except  for  premiums  returned  upon 
cancelled  policies,  and  premiums  paid  for  re-insurance  upon  business 
in  this  -State  in  companies  duly  authorized  to  do  business  in  this  State ; 
and  every  such  person,  partnership,  company  or  corporation  which  con- 
tracts on  his,  their,  or  its  account  to  issue  policies  or  contracts  for 
or  agreements  for  life  insurance,  and  all  like  insurance,  shall  pay  into 
the  State  treasury,  as  hereinabove  provided,  a  license  tax  of  two  and 
one-fourth  per  centum  upon  the  gross  amount  of  all  premiums,  assess- 
ments, dues  and  fees  collected,  received  or  derived,  or  obligations  taken 
therefor,  from  business  in  this  State  during  each  year  ending  the  thirty- 
first  day  of  December,  without  any  deduction  for  dividends  paid,  or 
deduction  on  any  other  account,  except  for  premiums  returned  upon 
cancelled  policies,  and  premiums  paid  for  re-insurance  upon  business 
in  this  State  in  companies  duly  authorized  to  do  business  in  this  State. 
Provided,  that  any  such  insurance  companies  chartered  by  and  doing 
business  solely  in  this  State  which  are  purely  mutual  and  have  no 
capital  stock,  and  are  not  designed  to  accumulate  profits  for  the  benefit 
of,  or  pay  dividends  to,  the  members  thereof,  or  any  insurance  company 
chartered  by  and  doing  business  solely  in  this  State,  with  a  capital  stock 
not  exceeding  twenty-five  thousand  dollars  and  which  pays  losses  from  as- 
sessments against  its  policy  holders  or  members,  shall  pay  a  license  tax  of 
one  per  centum  upon  the  gross  amount  of  all  premiums,  assessments, 
dues  and  fees  collected,  received  or  derived,  or  obligations  taken  therefor, 
from  business  in  this  State  during  the  year  ending  the  thirty-first  day 
of  December,  without  any  deduction  for  dividends  paid,  or  deduction  on 
any  other  account,  except  for  premiums  returned  upon  cancelled  policies, 
and  premiums  paid  for  re-insurance  upon  business  in  this  State  in  com- 
panies duly  authorized  to  do  business  in  this  State.  Provided,  further, 
that  nothing  herein  shall  be  construed  to  apply  to  mutual  fire  insurance 
companies  chartered  in  this  State  and  doing  a  local  business  in  this 
State,  as  defined  by  an  act  approved  March  seventh,  nineteen  hundred 
and  four,  nor  to  industrial  sick  benefit  companies,  as  defined  by  an  act 
approved  March  sixteenth,  nineteen  hundred  and  ten,  nor  to  fraternal 
beneficiary  associations,  as  defined  by  chapter  five  of  the  act  concerning 
the  bureau  of  insurance,  approved  March  ninth,  nineteen  hundred  and 
six,  as  amended  by  an  act  approved  March  twenty-fourth,  nineteen  hun- 
dred and  fourteen.  And  provided,  further,  that  nothing  herein  shall 
be  construed  to  apply  to  section  twenty-eight  of  chapter  one,  and  section 
fourteen  of  chapter  two,  of  an  act  concerning  the  bureau  of  insurance, 
approved  March  ninth,  nineteen  hundred  and  six,  providing  that  the 
expenses  of  maintaining  the  bureau  of  insurance  shall  be  paid  by  the 
insurance  companies  doing  business  in  this  State,  and  providing  that 
the  expense  of  keeping  the  bonds  deposited  with  the  treasurer  of  the 
State  shall  be  paid  by  the  insurance  company  depositing  same. 

The  proceeds  of  the  said  license  tax  to  be  paid  into  the  State  treasury 
by  every  person,  partnership,  company  or  corporation  doing  an  insurance 


186  Report  of  Committee  on  Tax  Revision. 

business  in  this  State  as  herein  provided,  shall  be  retained  for  the  ex- 
penses of  the  State  government,  except  that  one-fourth  of  the  license 
taxes  so  paid  into  the  State  treasury  from  premiums,  assessments, 
dues  and  fees  collected  on  policies,  'contracts  or  agreements  to  persons 
or  corporations  domiciled  in  any  city  or  incorporated  town  in  this 
State,  shall  be  returned  and  paid  by  the  State  on  or  before  the  first 
day  of  September  following  in  each  year,  into  the  treasury  of  the  city 
or  incorporated  town  in  which  the  insured  was  domiciled  at  the  time  of 
the  collection  of  any  such  premiums,  assessments,  dues  and  fees. 

Sec.  24.  Every  such  person,  partnership,  company  or  corporation  shall, 
on  or  before  the  first  of  March  of  each  year,  report,  under  oath,  to  the 
commissioner  of  insurance,  upon  forms  to  be  furnished  by  him,  the 
gross  amount  of  all  premiums,  assessments,  dues  and  fees  collected,  re- 
ceived or  derived,  or  obligations  taken  therefor,  from  business  in  this 
State  during  the  preceding  year  ending  the  thirty-first  day  of  December, 
without  any  deduction  for  dividends  paid,  or  deduction  on  any  other 
account,  except  for  premiums  returned  upon  cancelled  policies,  and  pre- 
miums paid  for  re-insurance  upon  business  in  this  State  in  companies 
duly  authorized  to  do  business  in  this  State,  and  said  report  shall  show 
separately  the  gross  amounts  of  such  premiums,  assessments,  dues  and 
fees  collected  from  persons  or  corporations  domiciled,  according  to  the 
books  of  such  insurance  companies,  in  any  city  or  incorporated  town  in 
this  State  within  the  period  aforesaid.  The  said  annual  report  shall 
be  examined  into  by  the  commissioner  of  insurance  in  order  to  ascertain 
as  to  its  correctness,  and  it  shall  be  his  duty  to  file  said  report,  or  a 
copy  thereof,  when  approved  by  him,  with  the  auditor  of  public  accounts. 

Every  such  person,  partnership,  company  or  corporation  which  shall 
fail  to  make  the  report  of  premium,  assessments,  dues  and  fees  as  herein 
required  shall  be  fined  fifty  dollars  for  each  day's  failure  to  make  such 
report,  said  fine  to  be  imposed  in  the  discretion  of  the  circuit  court  of 
the  city  of  Richmond,  iipon  the  motion  of  the  attorney  general,  after 
ten  days'  notice,  made  at  the  suggestion  of  the  commissioner  of  insurance. 

The  commissioner  of  insurance  shall,  upon  notification  from  the 
auditor  of  public  accounts,  that  the  license  tax  on  premiums,  assess- 
ments, dues  and  fees,  has  not  been  paid,  revoke  the  license  issued  the 
person,  partnership,  company  or  corporation. 

The  auditor  of  public  accounts  shall,  upon  the  failure  of  any  such 
person,  partnership,  company  or  corporation  to  make  the  payment  of 
the  license  tax  on  premiums,  assessments,  dues  and  fees,  within  the  time 
required  by  law,  add  a  penalty  of  ten  per  centum  of  the  amount  of  said 
license  tax  to  the  same,  and  proceed  to  recover  the  penalty  and  the  license 
tax  by  suit  in  the  circuit  court  of  the  city  of  Richmond  on  the  bond 
given  by  any  such  person,  partnership,  company  or  corporation  to  secure 
the  payment  of  said  tax. 

Sec.  26.  The  real  estate  and  tangible  personal  property,  situated  or 
located  in  this  State,  of  every  person,  partnership,  company  or  corpora- 
tion, whether  organized  by  the  laws  of  another  state  or  country,  or  organ- 
ized under  the  laws  of  this  State,  and  doing  an  insurance  business  in 
this  State,  shall  be  listed  and  assessed  on  the  land  and  property  books 
of  the  commissioners  of  the  revenue  in  the  same  manner  as  other  real 


Chapter   V — Taxation  of  Insurance   Companies.  187 

estate  and  tangible  personal  property  is  assessed,,  and  shall  be  taxed  at 
the  same  rate  as  other  like  property  is  taxed  in  this  State. 

The  license  tax  on  gross  premiums  as  provided  in  section  twenty- 
three  and  the  tax  on  real  estate  and  tangible  personal  property  herein 
provided  to  be  paid  by  every  person.,  partnership,  company  or  corporation 
doing  such  an  insurance  business  in  this  State,  shall  be  in  lieu  of  all 
other  license  fees,  taxes  or  levies  whatsoever  for  State,  county,  municipal 
or  local  purposes,  which  shall  be  construed  to  include  their  agents, 
except  where  any  such  agent  shall  represent  more  than  one  such  person, 
partnership,  company  or  corporation  doing  such  an  insurance  business 
in  this  State,  and  except  that  the  certificate  fee  of  one  dollar  required 
to  be  paid  by  all  such  agents  to  the  bureau  of  insurance  shall  be  paid 
by  them  as  heretofore. 

2.  The  collection  of  the  public  revenue  being  affected  hereby,  an 
emergency  is  declared  to  exist,  and  this  act  shall  be  in  force  from  its 
passage. 

JSToTE — If  a  plan  for  segregation  be  adopted,  and  it  provide  that  all 
insurance  taxes  shall  be  for  State  purposes  only,  then  in  the  last  para- 
graph of  section  23,  fourth  line,  all  after  the  words  "State  government" 
should  be  stricken  out,  and  section  24  should  be  amended  so  as  not  to 
require  such  companies  to  report  separately  premiums,  assessments,  dues 
and  fees  collected  from  persons  or  corporations  domiciled  in  any  city 
or  incorporated  town  in  this  State,  by  striking  out  all  after  the  word 
"State"  in  line  ten  in  said  section  24  to  the  end  of  the  sentence,  closing 
with  the  words  "period  aforesaid." 


188  Report  of  Committee  on  Tax  Revision. 


A  BILL 


To  amend  and  re-enact  sections  5  and  6  of  an  act  entitled  "An  Act  to 
Define  and  Classify  Industrial  Sick  Benefit  Companies  and  Asso- 
ciations," approved  March  16,  1910. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sections 
five  and  six  of  an  act  entitled  "An  act  to  define  and  classify  industrial 
§ick  benefit  companies  and  associations,"  approved  March  sixteenth,  nine- 
teen hundred  and  ten,  be  amended  and  re-enacted  so  as  to  read  as  follows : 

Sec.  5.  Every  association  or  joint  stock  company  embraced  in  the 
first  section  of  this  act  shall  pay  for  the  privilege  of  carrying  on  its 
business  in  this  State,  a  license  tax  of  one  per  centum  upon  the  gross- 
amount  of  all  premiums,  assessments,  dues  and  fees  collected,  or  obliga- 
tions taken  therefor,  derived  from  its  business  in  this  State  during  each 
year  ending  the  thirty-first  day  of  December,  which  license  tax  shall  be 
paid  in  the  same  manner  and  at  the  same  time  as  is  required  by  law 
of  the  regular  life  insurance  companies;  provided,  however,  that  in  the 
event  such  license  tax  on  gross  premiums  shall  not  amount  in  the  aggre- 
gate to  as  much  as  two  hundred  dollars  in  any  one  year,  then  such  asso- 
ciation or  joint  stock  company  shall  pay  a  specific  license  tax  of  two 
hundred  dollars.  The  tax  herein  provided  to  be  paid  by  the  companies 
or  associations  embraced  in  this  act  shall  be  in  lieu  .of  all  other  taxes, 
license  fees  or  levies  whatsoever  for  State,  county,  municipal  or  local 
purposes  for  the  privilege  of  doing  business  in  this  State ;  provided,  that 
nothing  in  this  act  shall  be  construed  to  relieve  any  such  company  or 
association  from  taxation  on  its  real  estate,  or  tangible  personal  property, 
as  required  by  law  to  be  paid  by  the  regular  life  insurance  companies 
doing  business  in  this  State,  nor  to  relieve  such  companies  or  associations 
from  the  tax  for  the  maintenance  of  the  bureau  of  insurance,  as  required 
by  section  twenty-eight  of  chapter  one  of  the  act  concerning  the  bureau 
of  insurance,  approved  March  ninth,  nineteen  hundred  and  six,  nor  to 
relieve  such  companies  or  associations  from  the  tax  required  to  be  paid 
to  the  treasurer  of  Virginia  for  keeping  the  bonds  deposited  by  any  such 
companies  or  associations ;  and  provided,  further,  that  any  industrial 
insurance  company  doing  business  on  the  legal  reserve  plan  shall  not  be 
required  to  pay  any  licenses,  fees  or  other  taxes  in  excess  of  those  required 
by  this  act  on  such  part  of  its  business  as  may  be  sick  benefit  insurance^ 
as  defined  in  section  one  of  this  act;  but  all  such  sick  benefit  insurance 
shall  be  subject  to  the  restrictions  of  this  act  as  far  as  applicable;  and 
provided,  further,  that  such  last  mentioned  companies  doing  business  on 
the  legal  reserve  plan  shall  pay  on  all  sick  benefit  policies  or  contracts 
that  provide  a  greater  death  benefit  than  two  hundred  and  fifty  dollars, 
or  a  greater  weekly  indemnity  than  ten  dollars,  and  on  all  other  life, 
limited  payment  and  endowment  insurance,  the  same  license  or  other 
taxes  as  are  required  of  all  other  legal  reserve  companies. 


Chapter   V — Taxation  of  Insurance  Companies.  189 

Every  agent,  canvasser  or  solicitor  representing  any  company  qualified 
to  transact  business  under  this  act  shall  be  subject  to  the  laws  governing 
agents  of  insurance  companies. 

Sec.  6.  All  such  companies  or  associations  shall  secure  annually  a 
license  from  the  commissioner  of  insurance,  who  shall,  before  issuing 
said  license,  be  satisfied  that  the  company  or  association  applying  for 
same  has  complied  with  all  the  laws  relating  to  companies  or  associations 
embraced  in  this  act,  and  is  solvent;  and  for  this  purpose  the  commis- 
sioner of  insurance  shall  have  authority,  at  any  time,  to  examine  any 
company  or  association  mentioned  in  this  act,  and  shall  possess  the  same 
powers  that  are  conferred  upon  him  for  examination  of  other  insurance 
companies.  Such  license  shall  expire  on  the  thirtieth  day  of  April 
following  its  date,  and  all  renewals  thereof  shall  be  obtainable  in  the 
same  manner. 

2.  The  collection  of  current  revenues  being  affected,  an  emergency 
is  hereby  declared  to  exist,  and  this  act  shall  be  in  force  from  its  passage. 


190  Report  of  Committee  on  Tax  Revision. 


A  BILL 


To  amend  and  re-enact  section  30  of  chapter  one,  and  section  13  of 
chapter  two  of  an  act,  entitled  "an  act  concerning  the  bureau  of 
insurance,  and  insurance,,  guaranty,  trust,  indemnity,  fidelity,  se- 
curity, and  fraternal  benefit  companies,  associations,  societies  and 
orders,  and  imposing  penalties  for  its  violation,"  approved  March 
9,  1906,  and  acts  amendatory  thereof. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  section 
thirty  of  chapter  one,  and  section  thirteen  of  chapter  two  of  an  act, 
entitled  "an  act  concerning  the  bureau  of  insurance,  and  insurance,, 
guaranty,  trust,  indemnity,  fidelity,  security,  and  fraternal  benefit  com- 
panies, associations,  societies  and  orders,  and  imposing  penalties  for 
its  violation,"  approved  March  ninth,  nineteen  hundred  and  six,  and 
acts  amendatory  thereof,  be  amended  and  re-enacted  so  as  to  read  as 
follows : 

Sec.  30.  All  companies  of  the  classes  mentioned  in  this  chapter, 
foreign,  alien,  or  domestic  shall,  on  or  before  the  first  day  of  March 
in  each  year,  make  report  to  the  bureau  of  insurance  upon  forms  to  be 
furnished  by  the  commissioner  of  insurance,  of  the  amount  of  their 
gross  premiums,  assessments  or  dues  for  the  preceding  calendar  year, 
and  such  other  information  as  the  bureau  of  insurance  may  require,  in 
order  to  make  such  assessment. 

Sec.  13.  Every  such,  insurance,  guaranty,  trust,  indemnity,  fidelity, 
security,  or  other  like  company,  whether  foreign,  alien  or  domestic,  shall 
obtain  annually  from  the  commissioner  of  insurance  a  renewal  of  its 
license  or  certificate  of  authority  to  transact  business  in  this  State, 
which  shall  not  be  issued  unless  and  until  every  such  insurance  company 
shall  have  paid  all  taxes,  fees  and  charges  imposed  by  law;  provided,  that 
if  the  commissioner  of  insurance  fails  or  refuses  to  renew  the  license  of 
any  such  company,  then  such  company  can  as  a  matter  of  right  appeal 
from  such  decision  to  the  State  corporation  commission  for  a  renewal 
of  its  license,  and  such  appeal  shall  be  informal  and  heard  at  once. 


Chapter  V — Taxation  of  Insurance  Companies.  191 


A  BILL 


Kelating  to  the  issuance  of  fire  insurance  policies  through  an  under- 
writers' agency,  and  providing  a  penalty  for  its  violation. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  every 
fire  insurance  company  shall  conduct  its  business  in  this  State  in  the 
name  by  which  it  is  incorporated,  and  the  policies  issued  by  it  shall  be 
headed  or  entitled  by  such  name.     There  shall  not  appear  on  the  face 
of  the  policy  or  on  its  filing  back  anything  that  would  indicate  that 
it  is  an  obligation  of  any  other  than  the  company  responsible  for  the 
payment  of  losses  under  the  policy,  and  the  name  or  names  of  any  fire 
insurance  companies  issuing  policies  through  an  underwriters'  agency 
shall  be  stamped  or  printed  on  each  policy  issued  by  such  underwriters' 
agency,  and  shall  show  on  each  such  policy  the  name  of  such  company 
or  companies,  and,  where  there  is  more  than  one  company,  their  pro- 
portion of  liability  under  said  policies  shall  be  distinctly  stated  therein. 

The  words  "underwriters'  agency,"  as  used  in  this  act,  shall  be  held 
to  apply  to  a  company  or  companies  who  issue  policies  severally  or 
jointly  under  a  name  other  than  their  own  corporate  name,  or  under 
a  contract  or  agreement  with  any  individual,  partnership,  corporation 
or  association  through  whom  such  policies  may  be  issued. 

Before  an  underwriters'  agency  shall  deliver,  or  cause  to  be  delivered, 
a  policy  in  this  State  it  shall  pay  an  annual  specific  license  tax  of  two 
hundred  dollars  for  the  privilege  of  doing  business  in  this  State  as  an 
underwriters'  agency,  and  shall  also  deposit  with  the  State  treasurer 
bonds  equal  in  amount  to  those  deposited  by  the  company  or  companies 
whose  policies  they  issue,  as  required  by  section  fourteen,  chapter  two  of 
"An  act  concerning  the  bureau  of  insurance,"  approved  March  ninth, 
nineteen  hundred  and  six,  and  no  company  shall  be  permitted  to  issue  an 
underwriters'  policy,  or  be  a  party  thereto,  which  has  not  complied  with 
all  of  the  laws  now  in  force  relative  to  fire  insurance  companies.  Pro- 
vided, that  nothing  herein  shall  be  construed  to  exempt  any  fire  insurance 
company  from  the  payment  of  the  license  tax  on  premiums  required  by 
the  laws  of  this  State. 

2.  Any  violation  of  this  act  shall  be  deemed  a  misdemeanor,  and, 
upon  conviction,  shall  be  punished  by  a  fine  of  not  less  than  fifty  nor 
more  than  five  hundred  dollars. 


Report  of  Committee  on  Tax  Revision. 


CHAPTER  VI. 

THE  TAXATION  OF  BANKS  AND  OF  TRUST  AND  SECURITY 

COMPANIES. 

There  are  two  outstanding  defects  in  our  present  method  of  taxing 
the  stock  of  banks  that  the  bill  we  present  aims  to  correct. 

The  Inequality  of  Local  Rates. 

To  meet  the  requirement  imposed  by  Act  of  Congress,  the  tax  actually 
paid  by  a  national  bank,  other  than  the  tax  on  real  estate,  is  levied,  not 
upon  the  bank  itself,  but  upon  the  holders  of  its  capital  stock.  The  stock 
is  assessed  at  its  book  value;  that  is,  each  share  is  assumed  to  be  worth 
the  amount  given  by  dividing  the  sum  of  the  bank's  capital,  surplus 
and  undivided  profits  by  the  whole  number  of  its  shares.  A  share  thus 
assessed  is  taxed  at  the  combined  State  and  local  rates  that  prevail  in 
the  locality  where  the  owner  resides,  if  the  owner  so  prefers ;  if  the  owner 
does  not  declare  his  preference,  or  if  he  is  not  a  resident  of  the  State, 
the  share  is  taxed  at  the  combined  State  and  local  rates  that  prevail 
where  the  bank  is  situated.  In  practice,  however,  the  tax  is  paid,  not 
by  the  owner  of  the  share,  but  by  the  bank  itself.  Under  this  method., 
since  local  rates  vary  widely,  banks  in  different  localities  bear  a  very 
unequal  burden  of  taxation.  Thus  in  Big  Stone  Gap  a  tax  of  $937.50 
would  be  collected  on  bank  stock  of  the  value  of  $25,000;  while  in  Nor- 
folk, stock  of  equal  value  would  be  taxed  only  $287.50.  It  is  true  that 
these  illustrations  are  drawn  from  opposite  extremities  of  the  State, 
between  which  there  is  little  competition  in  banking;  and  it  is  also  true 
that  they  mark  the  extremes  of  divergence  in  the  tax  rates.  But  many 
other  instances  might  be  adduced  to  show  that  banks  which  do  compete 
for  business  within  the  Commonwealth  are  very  unequally  handicapped 
by  local  taxes.  The  local  rate  in  Norfolk  for  example,  is  only  eighty 
cents;  while  in  the  adjacent  cities  of  Portsmouth  and  Newport  News 
it  is  a  dollar  and  a  quarter. 

It  seems  to  us  necessary  to  the  welfare  of  the  State  and  of  the  bank- 
ing business  that  a  uniform  tax  be  substituted  for  the  innumerable  rates 
that  now  prevail.  The  wisdom  of  making  banking  facilities  more  readily 
accessible  to  all  classes  of  our  citizens  has  been  universally  recognized 
by  the  business  men  and  legislators  of  Virginia  ever  since  the  depression 
following  the  panic  of  1893.  Since  that  date  the  Commonwealth  has 
seen  a  remarkable  growth  in  this  field  of  enterprise.  But  the  growth 
has  come,  not  because  of,  but  in  spite  of  our  tax  laws.  Our  desire  to 
afford  better  facilities  to  our  people  has  not  been  reflected  in  our  fiscal 
policy.  The  State,  it  is  true,  has  not  been  exorbitant  in  her  demands 
upon  the  banks;  but  she  has  allowed  a  grievous  discrimination  against 
them  on  the  part  of  the  municipalities.  At  the  present  time,  the  local 
bank,  like  the  local  merchant,  has  metropolitan  competitors  for  a  portion 


Chapter  VI — Taxation  of  Banks;  Trust  and  Security  Companies.  193 

of  the  business  that  should  normally  come  to  it.  The  development  of 
the  means  of  communication,  the  general  growth  of  business,  every  step 
in  the  direction  of  greater  general  prosperity  tends  to  widen  the  scope 
of  a  strong  bank's  activities,  with  the  result  that  the  city  bank  reaches 
far  into  the  field  that  the  country  bank  should  occupy.  The  small  local 
bank  cannot  meet  such  a  competitor  if  it  is  burdened  with  an  excessive 
tax.  And  yet  it  is  necessary  that  the  local  bank  should  be  preserved; 
for  it  is  only  a  portion  of  its  business  that  its  competitor  is  willing  to 
undertake.  The  small  borrower  and  the  small  depositor  can  find  ready 
accommodation  only  in  the  local  bank  of  the  community  where  he  is 
known,  a  bank  organized  on  a  scale  and  working  under  methods  that 
make  the  business  of  the  small  customer  attractive  to  it.  To  permit 
these  banks  to  be  unduly  taxed,  is,  therefore,  to  discriminate  against 
a  class  of  our  citizens  that  stands  most  in  need  of  better  financial  facili- 
ties. Hence,  we  believe  that  wise  public  policy,  as  well  as  strict  justice, 
requires  that  a  uniform  rate  be  fixed  for  all  banks  in  the  State. 

Apportionment  of  the  Tax. 

But  while  we  would  thus  limit  the  rate  of  the  tax,  we  do  not  recom- 
mend that  its  total  yield  should  be  segregated  for  State  use.  Our  ob- 
jection to  such  a  measure  is  two-fold.  In  the  first  place,  many  of  our 
municipalities,  particularly  some  of  the  towns  and  small  cities,  have 
entered  upon  policies  of  development  and  assumed  obligations  that  are 
based  on  their  retention  of  this  source  of  revenue.  Other  sources  of 
equal  yield  could  not  readily  be  opened  by  them.  In  many  cases  these 
policies  and  obligations  are  of  very  long  standing.  The  whole  fiscal 
system  of  the  communities  where  they  exist  has  been  built  up  with  the 
bank  taxes  as  one  of  the  sustaining  props,  and  suddenly  to  withdraw  that 
prop  would  bring  down  the  structure.  Keadjustment  would  not  be  im- 
possible, but  it  would  be  slow  and  costly,  and  could  be  effected  only 
after  a  considerable  period  of  confusion  and  impaired  credit.  Only  a 
great  necessity  could  justify  the  General  Assembly  in  imposing  this 
handicap  upon  the  localities  concerned. 

We  object  to  the  segregation  of  the  bank  tax,  in  the  second  place, 
because  we  regard  it  as  just  that  a  bank  should  contribute  to  the  necessi- 
ties of  the  locality  where  it  is  situated.  It  is  true  that  a  portion  of  a 
bank's  business  is  often  extra-local,  sometimes,  indeed,  statewide,  and 
even  wider.  But  with  rare  exceptions  the  prosperity  of  our  banks  is 
intimately  connected  with  that  of  the  communities  where  they  exist. 
Enough  of  every  bank's  business  is  local  to  make  it  in  large  measure 
dependent  upon  the  well  being  of  its  locality.  It  benefits  by  every  ex- 
penditure made  for  protection  or  development.  It  is  vitally  concerned 
in  the  maintenance  of  order  and  the  promotion  of  growth.  It  owes 
fully  as  much  to  its  community  as  any  other  business  that  exists  there. 
No  reason  is  known  to  us  for  relieving  it  from  the  obligation  to  con- 
tribute its  fair  share  to  the  necessities  of  the  local  government.  There- 
fore, the  bill  we  present  provides  that  the  State  shall  retain  only  the 
moderate  amount  it  now  collects  from  the  banks,  and  that  the  remain- 
ing, and  much  greater,  part  of  the  tax  shall  be  returned  to  the  localities. 


194  Report  of  Committee  on  Tax  Revision. 

The  Discrimination  Against  Banks, 

Under  the  present  law  taxes  are  levied  at  exactly  the  same  rate  upon 
the  assessed  value  of  real  estate  and  other  classes  of  property  as  upon 
bank  stock.    But  real  estate  is  assessed  at  far  less  than  its  selling  value, 
and  other  property  when  it  is  not  under-assessed  evades  taxation  in 
large  measure  through  concealment.     For  bank  stock,  however,  escape* 
is  not  so  easv  as  for  other  property.     It  cannot  be  concealed,  and  the 
assessment  of  it  can  always  be  made  in  a  manner  purely  mechanical  and 
independent  of  prejudice  or  favoritism.     When  it  is  thus  assessed,  it 
is,  along  with  securities  held  by  fiduciaries  and  exceptionally  honest 
men,  the  most  highly  taxed  property  in  the  State.     In  recognition  of 
this  the  General  Assembly  in  1908  permitted  the  deduction  from  the 
value  of  bank  stock  held  by  shareholders  of  debts  owing  by  them  and 
not  deducted  from  the  value  of  their  other  property,  provided.  •  that 
such  deductions  should  not  exceed  ten  per  cent,  of  the  value  of  all  the 
stock  of  the  bank.    Our  bill  eliminates  this  deduction.     It  appears  that 
the  working  of  the  act  is  attended  by  much  confusion;  that  many  have 
not  taken  advantage  of  it,  while  others  have  abused  it,  thus  increasing 
the  inequality  among  them.     It  has  come  to  our  knowledge  that  start- 
ling irregularities  exist  in  the  local  taxation  of  banks.     Some  pay  no 
county  taxes  at  all,  and  others  pay  on  stock  which  is  assessed  for  local 
taxation  at  a  small  fraction  of  its  value  for  State  taxation.    It  sometimes 
happens  that  a  bank  pays  taxes  on  stock  valued  at  one  amount  to  the 
State,  at  another  and  smaller  amount  to  the  town,  and  at  a  third  and 
much  smaller  amount  to  the  county.    Some  pay  a  flat  tax,  in  the  nature 
of  a  license,  to  the  locality  and  pay  no  local  tax  on  stock  at  all.     We 
present  in  the  Appendix  a  table  which  shows  the  degree  and  the  preva- 
lence of  these  irregularities.     Their  existence  is  sufficient  evidence  of 
the  need  of  a  uniform  rate  and  the  elimination  of  deductions  for  debts. 
Additional  reasons  for  the  elimination  are:  first,  that  the  amount  of 
the  deduction  is  purely  arbitrary,  and  may  or  may  not  afford  the  just 
degree  of  relief;  and,  second,  that  no  similar  deduction  is  made  on' 
account  of  debts  due  by  owners  of  real  estate  and  certain  other  classes 
of  property.     We  believe  that  a  just  distribution  of  the  tax  burden  can 
be  secured,  not  through  attempts  to  patch  up  unequal  assessments  by 
means  of  arbitrary  deductions  and  exemptions,  but  rather  by  making 
the  assessments  and  tax  rates  right  from  the  first.     The  proper  relief 
for  the  banks,  therefore,   is  to   be  sought,   not  through   an  artificial 
understatement  of  the  taxable  value  of  their  stock,  but  through  the 
ascertainment  of  the  true  taxable  value  of  other  kinds  of  property.    From 
this  would  result  a  lower  tax  rate  on  all  classes. 

The  Rate  Recommended  for  the  Bank  Tax. 

In  view  of  these  considerations  we  recommend  a  uniform  tax  rate 
of  $1.35  on  the  $100.00  of  the  book  value  of  bank  stock.  Of  this  we 
recommend  that  $0.35,  which  is  the  present  State  tax,  be  retained  by  the 
State,  and  that  $1.00  be  returned  to  the  locality  where  the  bank  is 
situated. 


Chapter  VI — Taxation  of  Banks;  Trust  and  Security  Companies.  195 

We  may  seem  inconsistent  in  recommending  a  rate  of  $1.35  on  bank 
stock,  since  we  present  elsewhere  a  bill  providing  for  a  tax  of  only  $1.00 
on  the  securities  of  other  corporations.  But  it  should  be  remembered 
that  this  is  the  only  tax  which  a  bank  pays.  Other  corporations  are 
taxed  on  their  property  and  franchises,,  so  that  the  tax  paid  by  the 
holders  of  their  securities  is  a  second  tax  levied  upon  the  same  property 
or  industry.  Not  so  with  the  banks.  Congress  has  forbidden  the  taxa- 
tion of  national  banks,  and,  of  course,  state  banks,  in  order  to  remain 
in  business,  must  be  given  an  equal  exemption.  But  Congress  permits 
the  stock  to  be  taxed  in  the  hands  of  the  holder,,  and  this  is  the  only 
way  in  which  revenue  can  be  raised  from  this  important  and  remunera- 
tive branch  of  commerce.  We  are  convinced  that  $0.35  on  the  $100.00, 
the  difference  between  the  tax  on  bank  stock  and  that  on  the  securities 
of  other  corporations,  is  by  no  means  excessive  if  it  be  regarded  in 
comparison  with  the  property  and  franchise  taxes  paid  by  other  cor- 
porations. 

The  Yield  of  the  Proposed  Tax. 

In  spite  of  our  defective  tax  methods  the  growth  of  banking  in 
Virginia  has  been  swift  and  continuous.  In  January,  1911,  the  total 
capital,  surplus,  and  undivided  profits  for  both  State  and  National  banks, 
after  deducting  the  value  of  their  real  estate,  amounted  to  $39,102,- 
781.60.  The  following  figures  show  the  growth  by  January,  1914: 

National  Banks 

Capital   $17,658,500  00 

Surplus 11,799,503  53 

Undivided  profits 3,510,394  96 

$32,968,398  49 

State  Banks 

Capital $13,785,330  85 

Surplus 7,634,415  02 

Undivided  profits 2,055,750  05 

—    $23,475,475  92 

Total    $56,443,874  41 

Deduct  value  of  real  estate   5,320,823  76 


Taxable  value  of  bank  stock $51,123,050  65 

A  tax  on  bank  stock  as  of  January  1,  1914,  at  the  rate  of  $1.35 
would  yield  $690,161.17. 

Legality  of  a  Rate  of  $1.35. 

The  Act  of  Congress  regulating  the  tax  on  national  bank  stock  pro- 
vides "that  the  -taxation  shall  not  b^  at  a  greater  rate  than  is  assessed 
upon  other  moneyed  capital  in  the  hands  of  individual  citizens."  Doubt 


IDG  Report  of  Committee  on  Tax  Revision. 

long  prevailed  as  to  the  meaning  of  "other  moneyed  capital,"  and  as  to 
whether  under  this  provision  it  was  lawful  to  tax  bank  stock  at  a  rate 
different  from  the  rate  on  any  other  class  of  investments.  This  doubt 
has  now  been  allayed  by  a  series  of  decisions  of  the  Supreme  Court.  The 
leading  cases  are  Mercantile  National  Bank  v.  City  of  New  York,  121 
U.  S.,  157,  and  First  National  Bank  of  Aberdeen  v.  Chehalie  County, 
166  IT.  S.,  440.  As  nearly  all  previous  decisions  are  reviewed  in  these 
cases  we  do  not  reproduce  them  here,  but  limit  ourselves  to  directing 
attention  to  a  few  important  points. 

In  the  case  of  the  Mercantile  National  Bank  v.  City  of  New  York  it 
was  contended  that  there  was  discrimination  against  national  bank 
stock,  inasmuch  as  the  deposits  of  trust  companies -and  savings  banks, 
the  bonds  issued  by  New  York  City,  the  stocks,  bonds,  loans,  and  mort- 
gages held  by  life  insurance  companies,  the  shares  of  stock  in  foreign 
corporations  held  by  residents  of  New  York,  and  certain  other  classes 
of  holdings  and  investments  were  either  altogether  exempt  or  were  taxed 
at  a  rate  lower  than  that  on  bank  stock.  The  court  decided  against 
the  contention  on  all  points.  In  construing  the  meaning  of  "other 
moneyed  capital"  it  says : 

"The  main  purpose,  therefore,  of  Congress  in  fixing  limits  to  state 
taxation  on  investments  in  the  shares  of  national  banks  was  to  render 
it  impossible  for  the  State,  in  levying  such  a  tax,  to  create  and  foster 
an  unequal  and  unfriendly  competition  by  favoring  institutions  or 
individuals  carrying  on  a  similar  business  and  operations  and  invest- 
ments of  a  like  character.  The  language  of  the  Act  of  Congress  is  to 
be  read  in  the  light  of  this  policy.  Applying  this  rule  of  construction, 
we  are  lead,  in  the  first  place,  to  consider  the  meaning  of  the  words  'other 
moneyed  capital'  as  used  in  the  statute.  Of  course,  it  includes  shares 
in  national  banks;  the  use  of  the  word  'other'  requires  that.  If  bank 
shares  were  not  moneyed  capital,  the  word  'other'  in  this  connection 
would  be  without  significance.  But  'moneyed  capital'  does  not  mean 
all  capital,  the  value  of  which  is  measured  in  terms  of  money.  In  this 
sense,  all  kinds  of  real  and  personal  property  would  be  embraced  by  it, 
for  they  all  have  an  estimated  value  as  the  subjects  of  sale.  Neither 
does  it  include  all  forms  of  investment  in  which  the  interest  of  the 
owner  is  expressed  in  money." 

Again,  in  the  case  of  the  National  Bank  of  Baltimore  v.  City  of 
Baltimore,  100  Federal  Reporter,  24,  a  Maryland  statute  was  attacked 
on  the  ground  that  it  taxed  the  stock  of  Baltimore  national  banks  more 
heavily  than  it,  taxed  certain  other  classes  of  investments.  The  Circuit 
Court  of  Appeals  for  the  fourth  district,  which  includes  Virginia,  upheld 
the  Maryland  statute.  In  its  decision  it  is  declared: 

"The  policy  and  purpose  of  Congress  was  to  protect  the  instru- 
mentalities created  by  it  from  unfair  competition,  by  requiring  that 
all  persons  engaged  in  like  business  should  pay  upon  the  capital  so 
employed  a  like  and  equal  rate  of  taxation.  The  true  test  is  the  nature 
of  the  business  in  which  the  person  is  engaged,  and  that  cannot  be 
determined  by  the  character  of  the  investment." 

Finally,  we  call  attention  to  the  most  recent  decision  in  this  field, 
that  of  Amoskeag  Savings  Bank  v.  Purdy,  a  case  decided  by  the  Supreme 


Chapter  VI — Taxation  of  Banks;  Trust  and  Security  Companies.  197 

Court,  December  1,  1913,  and  reported  in  231  U.  S.  373.  The  court 
quotes  with  approval  the  construction  of  the  term  "other  moneyed  capi- 
tal" in  Mercantile  National  Bank  v.  City  of  New  York.  It  Bays  further : 

"The  holders  of  shares  in  state  banks  are  subjected  to  precisely  the 
same  taxation,  and  with  respect  to  other  competitive  institutions,  such 
as  trust  companies,  the  franchise  taxes  imposed  upon  them  apparently 
result  in  a  substantially  similar  burden  upon  the  shareholder.  Nor  is 
there  any  discrimination  in  favor  of  savings  bank&.  With  respect  to 
individual  bankers,  there  is  a  difference,  they  being  apparently  subject 
to  the  local  rate  of  taxation  and  entitled  to  the  privilego  of  deduction 
for  personal  debts;  but  as  they  are  taxable  upon  the  amount  of  capital 
invested  in  the  banking  business,  which  is  normally  only  such  as  remains 
after  deduction  of  debts,  it  is  not  plain  that  they  possess  any  valuable 
privilege  of  reducing  the  tax  assessment  by  deducting  debts.  Foreign 
bankers  are  separately  treated,  for  reasons  sufficiently  obvious;  but  no 
criticism  is  made  of  this.  If  there  be  other  forms  of  'moneyed  capital* 
in  the  hands  of  individual  citizens'  of  tl-e  JSlute  employed  in  a  banking 
or  quasi-banking  business  in  r-ojij petition  w>th  the  national  banks  and 
which  are  subjected  to  a  more  favorable  rule  of  taxation,  cur  attention 
is  not  called  to  them." 

From  these  decisions  three  facts  stand  oat.  First,  "'inonej'ed  capital 
does  not  mean  all  capital."  Second,  "the  true  test  is  the  nature  of  the 
business  in  which  the  person  [owning  the  capital]  is  engaged."  And 
third,  it  is  moneyed  capital  "employed  in  a  banking  or  quasi-banking 
business  in  competition  with  the  national  banks"  that  is  contemplated 
by  the  statute.  Since  all  incorporated  companies  that  do  a  banking 
business  are  subjected  in  the  bill  we  propose  to  the  same  tax,  the  only 
possible  discrimination  against  national  banks  would  have  to  occur  in 
the  taxation  of  unchartered  hanks.  It  happens  that  there  a^e  very 
few  such  institutions  in  Virginia,  and  all  of  these  are  relatively  unim- 
portant, so  that  there  is  little  practical  significance  in  our  method  of 
taxing  them.  In  fact,  however,  we  do  tax  them  at  a  higher  rate  than 
other  banks.  In  addition  to  paying  at  the  combined  State  and  local 
rates  on  their  capital,  such  banks  have  to  take  out  a  license,  which  is 
graded  from  a  minimum  of  $50.00.  We  recommend  the  retention  of 
the  license  requirement,  and  the  substitution  of  a  uniform  tax  on  their 
capital  at  the  rate  of  one  per  cent,  for  the  State  a  ad  local  rate«  that 
now  prevail.  While  this  would  somewhat  reduce  the  present  tax  on 
private  banks  it  would  still  leave  it  higher  than  the  tax  on  the  stock 
of  other  banks.  Thus,  under  the  bill  we  propose,  a  chartered  bank 
would  pay  on  stock  of  the  book  value  of  $30,000.00  a  tax  of  $405.00. 
A  private  banker  would  pay  on  capital  of  the  same  amount  only  $300. 00, 
but  his  license  would  cost  him  $250.00.  For  every  increase  of  $1,000.00 
beyond  $30,000.00  the  chartered  bank  would  pay  an  additional  tax  of 
$13.50,  while  for  the  private  banker  the  additional  license  and  property 
tax  would  amount  to  $15.00.  It  is  obvious,  therefore,  that  the  change's 
we  propose  in  no  way  infringe  the  Federal  law. 

By  an  act  passed  in  1910  a  Banking  Department  was  established 
within  the  State  Corporation  Commission,  which  is  maintained  by  the 
fund  derived  from  fees  paid  by  the  banks  as  provided  by  section  1169-b  of 


198  Report  of  Committee  on  Tax  Revision. 

Pollard's  Code.  While  the  amount  now  derived  from  this  assessment 
against  banks  for  such  purposes  is  somewhat  more  than  the  expenses  here- 
tofore necessary  for  the  maintenance  of  the  Department,  we  recommend 
that  the  existing  scale  of  fees  be  continued,  because  it  is  necessary  that 
the  State  Corporation  Commission  shall  have  at  its  command  a  fund 
sufficient  to  provide  for  careful  supervision,  as  required  by  law. 

In  the  Appendix  will  be  found  a  table  showing  the  taxes  paid  for 
all  purposes  by  Virginia  banks  and  trust  companies  for  the  year  1913. 
The  table  shows  the  great  irregularity  of  the  local  rates,  an  inequality 
that  is  peculiarly  marked  in  the  case  of  the  incorporated  towns.  It 
would  be  difficult  to  adduce  a  stronger  argument  in  favor  of  our  recom- 
mendation of  a  uniform  rate  on  all  banks. 


Chapter  VI — Taxation  of  Banks;  Trust  and  Security  Companies.  199 


A  BILL 

To  amend  and  re-enact  sections  17,  18,  19,  20,  21,  and  22  of  an  act,  en- 
titled "an  act  to  raise  revenue  for  the  support  of  the  government 
and  public  free  schools,  and  to  pay  the  interest  on  the  public  debt, 
and  to  provide  a  special  tax  for  pensions,  as  authorized  by  section 
189  of  the  Constitution,"  approved  April  lt>,  1903,  and  acti  amen- 
datory thereof. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sections 
seventeen,  eighteen,  nineteen,  twenty,  twenty-one  and  twenty-two  of  an 
act,  entitled  "an  act  to  raise  revenue  for  the  support  of  the  government 
and  public  free  schools,  and  to  pay  the  interest  on  the  public  debt,  and 
to  provide  a  special  tax  for  pensions,  as  authorized  by  section  one  hun- 
dred and  eighty-nine  of  the  Constitution,"  approved  April  sixteenth, 
nineteen  hundred  and  three,  and  acts  amendatory  thereof,  be  amended 
and  re-enacted  so  as  to  read  as  follows: 

Sec.  17.  No  tax  shall  be  assessed  upon  the  capital  of  any  bank  or 
banking  association  organized  under  the  authority  of  this  State  or  of 
the  United  States,  nor  upon  capital  of  any  tmst  or  security  company 
chartered  by  this  State,  but  the  stockholders  in  such  banks,  banking 
associations,  trust  and  security  companies  shall  be  assessed  and  taxed 
on  their  shares  of  stock  therein.  Each  bank,  banking  association,  trust 
and  security  company  aforesaid,  on  the  first  day  of  February  in  each 
year,  shall  make  up  and  return  to  the  commissioner  o?  tlio  revenue  of 
the  county,  city  or  town,  or  district  in  which  said  bank,  banking  asso- 
ciation, trust  or  security  company  is  located,  <i  report  in  which  shall 
be  given  the  names  and  residences  of  all  its  stockholders,  the  number 
and  actual  value  of  the  shares  of  stock  held  by  each  stockholder.  From 
the  total  value  of  the  shares  of  stock  of  any  such  ban^,  banking  asso- 
ciation, trust  or  security  company,  which  shall  be  ascertained  by  adding 
together  its  capital,  surplus  and  undivided  profits,  there  shall  be  de- 
ducted the  assessed  value  of  its  real  estate  otherwise  taxed  in  this  State, 
or  if  the  title  to  the  building  in  which  any  such  bank,  banking  associa- 
tion, trust  or  security  company  does  its  business,  and  the  land  on  which 
it  stands,  is  held  in  the  name  of  a  separate  corporation,  in  which  such 
bank,  banking  association,  trust  or  security  company  owns  all  or  a 
majority  of  the  stock,  and  such  real  estate  be  otherwise  taxed  in  this 
State,  then  there  shall  be  deducted  from  the  value  of  the  shares  of  stock 
of  such  bank  such  proportion  of  the  assessed  value  of  said  real  estate 
as  the  stock  it  owns  in  such  holding  corporation  bears  to  the  whole  issue 
of  stock  in  such  corporation;  and  the  actual  value  of  each  share  of 
stock  shall  be  its  proportion  of  the  remainder.  The  owners  of  the  shares 
of  stock  of  such  banks,  banking  associations,  trust  or  security  com- 
panies, shall  be  entitled  to  no  deduction  from  the  taxable  value  of  their 


200  Report  of  Committee  on  Tax  Revision. 

shares  because  of  the  personal  indebtedness  of  such  owners,  or  for  any 
other  reason  whatsoever. 

Sec.  18.  It  shall  be  the  duty  of  said  commissioner  of  the  revenue,  as 
soon  as  he  receives  such  report,  to  assess  each  stockholder  upon  such 
actual  value  of  the  shares  of  stock  owned  by  him  a  tax  of  one  dollar 
and  thirty-five  cents  on  every  hundred  dollars'  value  thereof,  the  pro- 
ceeds of  which  shall  be  paid  into  the  State  treasury,  and  thirty-five  cents 
on  every  hundred  dollars'  value  thereof  shall  be  retained  for  the  expense 
of  the  State  government,  and  the  remaining  one  dollar  on  every  hundred 
dollars  value  thereof  shall  be  returned  and  paid  by  the  State  treasurer 
on  or  before  the  first  day  of  September  following  in  each  year,  into  the 
treasury  of  the  county  or  city  in  which  the  bank,  banking  association, 
trust  or  security  company  is  located  against  which  said  tax  shall  have 
been  assessed  and  collected;  and  thereupon  the  treasurer  of  any  such 
county  in  which  there  is  an  incorporated  town  shall  apportion  the  sum 
so  received  between  the  county  and  town  in  which  any  such  bank  or 
other  banking  institution  is  located  in  the  same  proportion  as  the  reve- 
nues received  from  other  taxable  property  in  such  town  is  distributed 
between  the  said  county  and  town,  and  shall  thereupon,  and  within 
thirty  days  after  its  receipt,  pay  over  to  the  treasurer  of  such  town  its 
proper  proportion  of  such  tax.  The  said  tax  shall  be  in  lieu  of  all 
other  taxes  whatsoever  for  State,  county  or  local  purposes  upon  the  said 
shares  of  stock.  The  said  commissioner  shall  make  out  three  assess- 
ment lists,  give  one  to  the  bank,  banking  association,  trust  or  security 
company,  send  one  to  the  auditor  of  public  accounts  and  retain  one. 
The  assessment  list  delivered  to  said  bank,  banking  association,  trust 
or  security  company  shall  be  notice  to  the  bank,  banking  association, 
trust  or  security  company,  of  a  tax  assessed  against  its  stockholders, 
and  each  of  them,  and  have  the  legal  effect  and  force  of  a  summons 
upon  suggestion  formally  issued  and  regularly  served.  The  tax  assessed 
upon  each  stockholder  in  said  bank,  banking  association,  trust  or  se- 
curity company  shall  be  the  first  lien  upon  the  stock  standing  in  his 
name  and  upon  the  dividends  due  and  to  become  due  thereon,  no  matter 
in  whose  possession  found,  and  have  priority  over  any  and  all  liens  by 
deeds  of  trust,  mortgages,  bills  of  sale,  or  other  assignment  made  by 
the  owner  or  holder,  and  take  priority  over  all  liens,  by  execution,  gar- 
nishment, or  attachment  process  sued  out  by  creditors  of  the  stock- 
holder. The  bank,  banking  association,  trust  or  security  company  shall 
hold  the  dividend  or  other  fund  which  belongs  to  the  stockholder  and 
in  its  custody  at  the  time  the  assessment  list  is  received,  or  that  there- 
after shall  come  under  its  control,  for  the  use  of  the  Commonwealth, 
and  apply  the  same  to  the  payment  of  the  tax  assessed,  and  when 
thus  applied  shall  be  acquitted  and  discharged  from  all  liability  to  the 
stock-holder  for  the  money  thus  disbursed. 

Sec.  19.  Each  bank,  banking  association,  trust  and  security  com- 
pany, on  or  before  the  first  day  of  June  in  each  year,  shall  pay  into 
the  State  treasury  the  taxes  assessed  against  its  stockholders. 

Sec.  20.  Should  any  bank,  banking  association,  trust  or  security  com- 
pany fail  to  pay  into  the  treasury  the  tax  assessed  against  its  stock- 
holders on  or  before  the  first  day  of  June  in  each  year,  then,  as  soon 


Chapter  VI— Taxation  of  Banks;  Trust  and  Security  Companies.  201 

thereafter  as  practicable,  the  auditor  of  public  account?  shall  transmit 
to  the  treasurer  of  the  county  or  city  in  which  said  bank,  banking  asso- 
ciation, trust  or  security  company  is  located,  a  copy  of  the  assessment 
list  furnished  him  by  the  commissioner  of  the  revenue,  and  it  shall  be 
said  treasurer's  duty  to  collect  the  taxes  therein  assessed  and  to  this 
end  levy  upon  the  stock  of  the  tax  payer,  or  so  much  thereof  as  is  neces- 
sary, to  pay  said  tax  and  sell  the  same  at  public  auction  for  cash,  as 
other  chattels  and  personal  property  are  sold  under  execution.  He  shall 
give  to  the  purchaser  a  bill  of  sale  made  under  his  hand  and  seal. 

Sec.  21.  The  bank,  banking  association,  trust  or  security  company, 
on  presentation  by  a  purchaser  of  his  bill  of  sale,  shall  cause  the  stock 
therein  described  to  be  transferred  to  said  purchaser,  and  he  shall  take 
a  clear  and  unencumbered  title  to  the  stock  purchased.  Should  the 
taxes  assessed  against  said  stockholders  be  not  paid  or  collected  as  here- 
inbefore provided,  the  lists  aforesaid  shall  stand  and  be  treated  and 
have  the  legal  effect  of  tax  tickets  regularly  made  out  against  each  of 
said  stockholders  named  in  said  lists  as  to  which  tax  the  right  of  levy 
and  distress  has  accrued  to  the  Commonwealth,  and  the  treasurer  shall 
proceed  to  collect  the  same  by  levy  or  distress,  and  possess,  all  and 
singular,  the  authority  and  power  conferred  upon  him  by  law  to  collect 
other  State  taxes,  and  be  governed  by  sections  six  hundred  and  twenty- 
two  and  six  hundred  and  twenty-three  of  the  code  of  Virginia. 

Sec.  22.  The  bank,  banking  association,  trust  or  security  company, 
which  shall  fail  or  neglect  to  comply  with  each  and  every  provision  of 
this  act,  for  each  separate  offense,  shall  be  fined  not  less  than  one  hun- 
dred, nor  more  than  five  hundred  dollars,  which  fine  shall  be  recovered 
upon  motion,  after  five  days'  notice  in  the  circuit,  corporation,  or  hust- 
ings court,  of  the  county  or  city  in  which  the  said  bank,  banking  asso- 
ciation, trust  or  security  company  is  located.  Said  motion  shall  be  in 
the  name  of  the  Commonwealth  and  presented  by  the  attorney  for  the 
Commonwealth,  of  the  court  in  which  the  motion  is  brought  or  made. 
The  real  estate  of  all  banks,  banking  associations,  trust  and  security 
companies  shall  be  assessed  on  the  land  books  of  the  commissioners  of 
the  revenue,  with  the  same  taxes  with  which  other  real  estate  is  assessed. 

2.  The  collection  of  the  public  revenue  being  affected  hereby,  an 
emergency  is  declared  to  exist,  and  this  act  shall  be  in  force  from  its 
passage. 


202  Report  of  Committee  on  Tax  Revision. 

CHAPTER  VII. 

MISCELLANEOUS  RECOMMENDATIONS. 
Income  Tax. 

We  recommend  certain  changes  in  the  exemptions  in  order  to  make 
them  more  nearly  comply  with  the  requirement  that  they  should  neither 
be  so  low  as  to  bear  upon  the  reasonable  necessities  of  life,  nor  .so  high 
as  to  result  in  class  legislation. 

We  recommend  that  taxes  and  fire  insurance  premiums  paid  be  added 
to  present  deductions ;  that  the  statement  of  sources  of  income  and  deduc- 
tions be  more  clearly  defined  with  the  hope  of  a  better  understanding 
and  enforcement  of  the  law  by  Commissioners  of  the  Revenue.  To  this 
end,  as  well  as  in  the  interest  of  economy  and  lack  of  confusion,  we 
also  recommend  that  the  Auditor  of  Public  Accounts  prepare  and  fur- 
nish Commissioners  income  tax  interrogatories  separate  and  distinct 
from  other  regular  forms. 

Elsewhere  we  have  suggested  a  remedy  to  secure  the  fuller  report- 
ing of  incomes.  The  tax  assessed  on  incomes  for  the  past  three  years  has 
been  as  follows:  For  1912,  $102,038;  for  1913,  $164,136;  for  1914, 
$193,465.  These  are  handsome  increases,  but  we  probably  get  much 
less  revenue  from  this  source  than  we  should  if  the  law  were  fully 
enforced. 

The  following  redraft  of  the  income  section  of  the  tax  bill  shows 
the  changes  recommended: 


Chapter  VII — Miscellaneous  Recommendations.  203 


A  BILL 

To  amend  and  re-enact  section  10  of  an  act  entitled  an  act  to  raise 
revenue  for  the  support  of  the  government  and  public  free  schools 
and  to  pay  the  interest  on  the  public  debt,  and  to  provide  a  special 
tax  for  pensions,  as  authorized  by  section  189  of  the  Constitution, 
approved  April  16,  1903,  as  amended  by  an  act  approved  February 
19,  1904,  as  amended  by  an  act  approved  January  31,  1908,  as 
amended  by  an  act  approved  March  14,  1912,  as  amended  by  an 
act  approved  March  2'0,  1914. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  section 
10  of  an  act  entitled  an  act  to  raise  revenue  for  the  support  of  the  gov- 
ernment and  public  free  schools  and  to  pay  the  interest  on  the  public 
debt,  and  to  provide  a  special  tax  for  pensions,  as  authorized  by  section 
one  hundred  and  eighty-nine  of  the  Constitution,  approved  April  six- 
teenth, nineteen  hundred  and  three,  as  amended  by  an  act  approved 
February  nineteenth,  nineteen  hundred  and  four,  as  amended  by  an  act 
approved  January  thirty-first,  nineteen  hundred  and  eight,  as  amended  by 
an  act  approved  March  fourteenth,  nineteen  hundred  and  twelve,  as 
amended  by  an  act  approved  March  twentieth,  nineteen  hundred  and 
fourteen,  be  amended  and  re-enacted  so  as  to  read  as  follows: 

Sec.  10.     The  classification  under  Schedule  "D"  shall  be  as  follows : 

The  aggregate  amount  of  income,  whether  received  or  due  but  not 
received,  within  the  year  next  preceding  the  first  of  January  in  each 
year,  subject  to  the  deductions  and  exemptions  herein  beloiv  recited. 

Income  shall  include: 

1st.  All  rents,  except  ground  rents  or  rents-charge,  salaries,  wages, 
fees  or  compensations  of  whatever  kind  from  professions,  vocations  or 
other  services. 

2nd.  All  interest  upon  notes,  bonds  or  other  evidences  of  debt  of 
whatever  description,  of  the  United  States,  or  any  other  State  or  country, 
or  any  corporation,  company,  partnership,  firm  or  individual;  all  divi- 
dends derived  from  stocks  or  other  evidences  of  ownership  or  interest 
in  property,  whether  paid  or  declared  in  cash  or  stock  or  otherwise?  all 
royalties  derived  from  mines,  patents,  copyrights,  or  the  possession  or 
use  of  franchises  or  legalized  privileges  of  any  kind;  and  all  annuities 
from  invested  funds  or  trusts;  provided,  that  the  proceeds  of  life  insur- 
ance policies  paid  upon  the  death  of  the  person  insured  or  payments 
made  by  or  credited  to  the  insured,  on  life  insurance,  endowment,  or 
annuity  contracts,  upon  the  return  thereof  to  the  insured  at  the  ma- 
turity of  the  term  mentioned  in  the  contract,  or  upon  surrender  of  con- 
tract, shall  not  be  included  as  income. 

3rd.  All  profits  from  the  earnings  of  any  partnership  or  business 
done  in  or  out  of  Virginia,  due  and  paid  or  accrued,  whether  appor- 
tioned in  any  manner  or  not;  and  all  profits  derived  from  the  sale  of 
real  or  personal  estate. 


204:  Report  of  Committee  on  Tax  Revision. 

4th.  The  amount  of  sales  of  live  stock  and  meat  of  all  kinds,  less 
the  value  assessed  thereon  the  previous  year  by  the  commissioner  of  the 
revenue. 

5th.  The  amount  of  sales  of  wood,  butter,  cheese,  hay,  tobacco, 
grain  and  other  vegetable  and  agricultural  productions  during  the  pre- 
ceding year,  whether  the  same  was  grown  during  the  preceding  year  or 
not,  less  all  sums  paid  for  taxes,  and  for  labor,  fences,  fertilizers  and 
seed  purchased  and  used  upon  the  land  upon  which  the  vegetable  and 
agricultural  productions  were  grown  or  produced,  and  the  rent  of  said 
land  paid  by  said  person,  if  he  be  not  the  owner  thereof. 

6th.     All  other  gains  and  profits  derived  from  any  source  whatever. 

There  shall  be  exempt  from,  taxation  under  this  schedule  income  of 
each  taxpayer  as  follows: 

(a)  To  an  individual,  income  up  to  and  including  the  sum  of  $1,000. 

(b)  To  husband  and  wife,  income  up  to  and  including  the  sum 
of  $1,500. 

(c)  For  each  unmarried  child  under  the  age  of  twenty-one  years. 
the  sum  of  $300. 

Provided,  that  only  one  deduction  of  the  specified  sums  aforesaid 
shall  be  made  from  the  aggregate  income  of  any  family,  except  that 
guardians  may  make  a  separate  deduction  of  $1,000  in  favor  of  each 
ward,  out  of  income  coming  to  such  ward. 

In  addition  to  the  foregoing  exemptions,  there  shall  be  deducted 
from  the  income  of  'the  person  assessed  the  following: 

1.  All  interest  on  existing  personal  indebtedness,  all  taxes,  and  nil 
fire  insurance  premiums,  due  and  paid  during  the  year. 

2.  All  necessary  expenses  actually  paid  in  carrying  on  any  indi- 
vidual business,  not  including  personal,  living  or  family  expenses,  paid 
during  the  year,  and  not  including  books,  tools,  instruments,  machinery. 
appliances,  furniture  or  fixtures  or  other  taxable  property  purchased, 
whether  used  in  connection  with  the  business  or  not. 

3.  All  losses  of  property  and  such  as  are  incurred  in  lawful  busi- 
ness, actually  sustained  during  the  year,  and  not  compensated  for  by 
insurance  or  otherwise. 

4.  All  debts  due  to  the  taxpayer  actually  ascertained  to  be  worth- 
less and  actually  charged  off  within  the  year. 

Provided,  however,  that  the  first  assessment  of  incomes  made  under 
this  amended  act  shall  be  for  eleven  months,  viz:  from  February  1st  to 
December  81st. 

The  Auditor  shall  prepare  and  furnish  to  the  commissioners  of  the 
revenue  necessary  forms  of  interrogatories  for  the  assessment  of  the 
income  tax  separate  and  distinct  from  other  forms  of  interrogatories. 

Sec.  11.  On  income,  as  defined  in  this  schedule,  the  tax  shall  be 
one  per  centum ;  and  no  city,  town  or  county  shall  levy  or  assess  any  ta  \ 
on  income  for  municipal  or  county  purposes,  and  any  provision  of  am- 
city  or  town  charter  in  conflict  with  this  act  is  hereby  repealed. 

2.  The  collection  of  the  public  revenue  being  affected,  an  emergent -v 
is  hereby  declared  to  exist,  and  this  act  shall  be  in  force  from  its  passage. 


Chapter  VII — Miscellaneous  Recommendations.  205 


Inheritance  Tax. 

There  has  been  a  statute  in  this  State  for  many  years  under  which 
a  tax  of  five  per  cent,  is  levied  on  collateral  inheritances.  This  tax 
appears  to  us  fair,  and  has  worked  well.  We  have  never  had  a  direct 
inheritance  tax  in  this  State;  and  we  do  not  now  recommend  it,  partly 
because  the  needs  of  government  do  not  now  require  the  opening  of  new 
sources  of  revenue,  and  partly  because  the  justice  of  the  direct  inherit- 
ance tax  does  not  appear  to  us  to  be  altogether  beyond  question.  It  is 
true  that  a  direct  inheritance  tax  has  been  adopted  in  a  majority  of 
the  States  of  the  Union,  and  has  proved  the  source  of  a  large  revenue. 
Its  yield  and  the  ease  and  certainty  of  its  collection  may  in  the  future 
be  sufficient  ground  for  considering  its  adoption  in  Virginia,  but  we 
are  of  the  opinion  that  it  is  unnecessary  and  undesirable  at  this  time. 

Stock  Transfer  Tax. 

By  this  we  mean  a  tax  on  shares  of  stock  transferred  by  a  foreign 
executor,  administrator  or  trustee  when  such  stock  or  obligation  has 
been  issued  by  a  corporation  of  this  State  and  stands  in  the  name  of  a 
deceased  person,  or  in  trust  for  such  decedent.  Such  a  tax  has  been 
adopted  in  New  York  and  many  other  States,  and  in  the  former  State 
is  a  source  of  considerable  revenue  on  account  of  the  large  volume  of 
stock  transactions  in  that  State.  This  would  not  be  true  here.  We  are 
of  the  opinion  that  it  is  neither  necessary  nor  desirable  at  this  time  to 
place  this  additional  burden  on  the  free  transfer  of  stock  by  foreign 
executors  or  trustees  of  estates. 

Fish  and  Oyster  Industry. 

Owing  to  the  great  importance  to  the  Commonwealth  of  the  sea  food 
industries,  we  have  given  special  and  careful  consideration  to  revenue 
possibilities  from  that  source. 

Less  than  two  decades  ago  there  were  almost  constant  deficits  from 
this  source.  By  judicious  legislation  the  industry  has  been  promoted, 
the  output  increased,  and  a  substantial  revenue  is  now  paid  into  the 
State  Treasury.  The  depleted  oyster  bottoms  have  been  restored  to 
productiveness,  and  Virginia  now  stands  at  the  head  of  all  the  States 
in  the  output  of  fish,  oysters  and  crabs;  and  yet  it  is  said  that  three- 
fourths  of  the  oyster-planting  area  is  still  bare  and  inviting  cultiva- 
tion, showing  that  great  good  can  yet  be  accomplished  in  this  respect. 
The  rapid  development  of  the  business  has  been  achieved  in  spite  of 
the  fact  that  markets  are  distant  and  transportation  charges  are  high. 
Virginia  has  done  well  to  extend  to  these  industries  every  possible  en- 
couragement and  protection  compatible  with  a  just  and  fair  plan  of 
taxation. 

It  is  stated  in  the  report  of  the  Commissioner  of  Fisheries  that  more 
than  forty-two  thousand  people  are  engaged,  in  one  capacity  or  another, 


206  Report  of  Committee  on  Tax  Revision. 

in  these  particular"  lines,  no  inconsiderable  number  of  whom  are  sub- 
stantial property  owners,  and  as  such  are  contributing  to  the  revenue? 
of  the  State,  apart  from  the  regular  fish  and  oyster  tax.  The  total 
annual  value  of  the  fish,  oyster  and  crab  output  is  estimated  at 
$2,000,000.  A  very  essential  part  of  the  food  supply  of  the  people  is 
dependent  upon  this  industry. 

Considering  the  more  or  less  uncertain  nature  of  the  business,  due 
to  conditions  that  cannot  be  foreseen  or  averted,  profits  are  variable  and 
heavy  losses  are  not  infrequent.  In  recent  years  the  industry  has  shown 
a  gratifying  development  under  the  operation  of  the  present  law,  and 
the  Committee  believes  that  no  immediate  change  in  the  tax  system 
would  be  expedient. 

There  was  no  evidence  adduced  before  the  Committee  that  the  indus- 
try was  unduly  taxed,  nor  did  our  investigation  lead  us  to  the  conclusion 
that,  under  present  conditions,  the  State  is  not  getting  all  that  it  could 
properly  exact  from  those  who  are  engaged  in  the  business.  The  revenue 
from  this  source  seems  likely  to  increase  from  year  to  year  under  the 
State's  present  policy  of  protection  and  taxation,  and  the  best  interests 
of  the  State  and  people  will  be  subserved  by  adhering,  for  the  present  at 
least,  to  this  policy. 

We,  therefore,  recommend  no  change  at  this  time  on  the  tax  of  the 
fish,  oyster  and  crab  industry,  including  the  fish  fertilizer  business. 

Tax  on  Recordation  of  Deeds. 

It  is  provided  by  Section  13  of  the  Tax  Bill  that  there  shall  be 
paid  on  the  recordation  of  every  deed  the  tax  therein  prescribed,  which 
is  50  cents  when  the  consideration  is  $300  or  less;  when  over  $300  and 
not  more  than  $1,000,  one  dollar;  and  when  exceeding  $1,000,  the  tax 
is  10  cents  additional  on  every  $100  or  fraction  thereof  of  such  con- 
sideration. This  tax  is  unusual,  and  we  know  of  no  other  State  levy- 
ing a  similar  tax  on  the  recordation  of  deeds,  except  Tennessee.  We 
are  of  the  opinion  that  there  should  really  be  no  such  tax  on  the  recorda- 
tion of  deeds,  but  such  being  now  the  law,  and  not  deeming  it  expedient 
to  deprive  the  State  of  this  source  of  revenue  at  this  time,  we  recommend 
that  this  section  be  so  amended  as  to  correct  a  manifest  injustice  in 
requiring  payment  of  such  a  tax  when  a  supplemental  deed  of  trust, 
mortgage  or  agreement  is  recorded  upon  which  the  tax  imposed  has 
been  paid  on  the  original  instrument  representing  the  same  indebted- 
ness. It  has  been  held  by  the  Supreme  Court  of  Appeals  of  this  State 
in  a  recent  case  that  when  such  a  supplemental  instrument  is  recorded 
conveying  the  same  property  to  secure  the  same  indebtedness,  and  in 
addition  conveying  other  property,  that  the  tax  shall  be  paid  on  the 
supplemental  instrument  when  recorded,  in  like  manner  as  if  it  were 
an  original  transaction.  To  correct  this  we  submit  herewith  a  bill, 
with  the  proposed  amendment  italicized. 


Chapter  VII — Miscellaneous  Recommendations.  20? 


Administrative  Reforms. 

In  connection  with  our  report  on  real  estate  and  tangible  and  in- 
tangible property,  we  have  recommended  certain  amendments  to  exist- 
ing laws,  in  order  to  effect  certain  amendments  in  their  administration. 
In  addition  to  these,  we  consider  that  section  603  of  the  Code,  with 
reference  to  the  collection  of  taxes  by  treasurers,  should  be  amended  so 
that  they  be  required  not  only  to  advertise  the  time  and  place  for  the 
payment  to  them  of  taxes,  but  that  they  be  required  to  give  at  least 
ten  days'  written  notice  to  each  taxpayer  of  such  time  and  place  and 
of  the  aggregate  amount  of  taxes  and  levies  due.  There  has  been  much 
complaint  on  the  part  of  taxpayers  that  they  did  not  know  the  amount 
of  their  taxes  before  calling  on  the  treasurer  to  make  payment.  Such 
a  provision  as  we  propose  in  the  bill  to  amend  section  603  of  the  Code, 
which  follows,  will,  we  believe,  be  not  only  more  business-like  on  the 
part  of  the  State,  but  also  likely  to  result  in  the  more  prompt  pay- 
ment of  taxes  by  the  taxpayers. 


208  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  amend  and  re-enact  section  13  of  an  act  entitled  "An  act  to  raise 
revenue  for  the  support  of  the  government  and  public  free  schools 
and  to  pay  the  interest  on  the  public  debt,  and  to  provide  a  special 
tax  for  pensions,  as  authorized  by  section  189  of  the  Constitution, 
approved  April  16,  1903,"  as  amended  and  re-enacted  by  an  act 
entitled  "An  act  to  amend  and  re-enact  section  13  of  an  act  en- 
titled an  act  to  raise  revenue  for  the  support  of  the  government 
and  public  free  schools  and  to  pay  the  interest  on  the  public  debt, 
and  to  provide  a  special  tax  for  pensions,  as  authorized  by  section 
189  of  the  Constitution,  approved  April  16,  1903,"  approved  March 
17,  1910. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sec- 
tion thirteen  of  an  act  entitled  "An  act  to  raise  revenue  for  the  sup- 
port of  the  government  and  public  free  schools  and  to  pay  the  interest 
on  the  public  debt,  and  to  provide  a  special  tax  for  pensions,  as  author- 
ized by  section  one  hundred  and  eighty-nine  of  the  Constitution,  ap- 
proved April  sixteenth,  nineteen  hundred  and  three,"  as  amended  and 
re-enated  by  an  act  entitled  "An  act  to  amend  and  re-enact  section 
thirteen  of  an  act  entitled  an  act  to  raise  revenue  for  the  support  of 
the  government  and  public  free  schools  and  to  pay  the  interest  *on  the 
public  debt,  and  to  provide  a  special  tax  for  pensions,  as  authorized  bi- 
section one  hundred  and  eighty-nine  of  the  Constitution,  approved  April 
sixteenth,  nineteen  hundred  and  three,"  approved  March  seventeenth, 
nineteen  hundred  and  ten,  be  amended  and  re-enacted  so  as  to  read 
as  follows: 

Sec.  13.  On  every  deed,  except  a  deed  exempt  from  taxation  by 
law,  which  is  admitted  to  record,  the  tax  shall  be  fifty  cents  where 
the  consideration  of  the  deed  or  the  actual  value  of  the  property  con- 
veyed is  three  hundred  dollars  or  Jess;  where  the  consideration  of 
the  deed  or  the  actual  value  of  the  property  conveyed  is  over  three 
hundred  dollars  and  does  not  exceed  one  thousand  dollars, 
the  tax  shall  be  one  dollar;  where  the  consideration  of  the  deed  or 
the  actual  value  of  the  property  conveyed  exceeds  one  thou- 
sand dollars,  there  shall  be  paid  ten  cents  additional  on 
every  hundred  dollars  or  fraction  thereof  of  such  consideration  or 
actual  value;  on  deeds  of  trust  or  mortgages  the  tax  shall  be  upon 
the  amount  of  bonds  or  other  obligations  secured  thereby;  on  deeds  of 
trust  or  mortgages  upon  the  works  and  property  of  a  railroad  or  other 
internal  improvement  company,  lying  partly  in  this  State  and  partly 
in  another  State,  the  tax  shall  be  upon  such  proportion  of  the  amount 
of  bonds  or  other  obligations  secured  thereby  as  the  number  of  miles 
of  the  line  of  such  company  in  this  State  bears  to  the  whole  number  of 
miles  of  the  line  of  such  company  conveyed  by  such  deed;  the  tax 
on  a  deed  of  release  shall  be  fifty  cents;  the  tax  on  any  deed  of  par- 


Chapter  VII — Miscellaneous  Recommendations.  209 


tition  among  joint  tenants,  tenants  in  common,  or  copartners,  shall  be 
fifty  cents.     The  tax  on  every  deed,  contract  or  agreement  shall  be  de-  • 
termined  and  collected  by  the  clerk  in  whose  office  it  is  first  offered 
for  recordation,  and  may  thereafter  be  recorded  in  the  office  of  any 
other  clerk  without  the  payment  of  any  tax. 

On  every  contract  relating  to  real  or  personal  property,  except  as 
hereinafter  provided,  which  is  admitted  to  record,  the  tax  shall  be  fifty 
cents  where  the  consideration  or  value  contracted  for  is  three  hundred 
dollars  or  less;  where  the  consideration  or  value  contracted  for  is  over.' 
three  hundred  dollars  and  does  not  exceed  one  thousand  dollars,  the  tax 
shall  be  one  dollar;  where  the  consideration  or  value  contracted  for 
exceeds  one  thousand  dollars,  there  shall  be  paid  ten  cents  additional  on ' 
every  hundred  dollars  or  fraction  thereof  of  such  consideration  or  value 
contracted  for. 

On  every  contract  or  agreement  relating  to  the  sale  of  rolling  stock 
or  equipment  (whether  the  title  is  reserved  in  the  vendor  or  not)  with 
a  railroad  corporation,  or  other  corporation,  or  with  a  person,  firm,  or 
company,  admitted  to  record,  the  tax  shall  be  ten  cents  on  every  hun- 
dred dollars  or  fraction  thereof  of  the  amount  contracted  for  in  such 
contract  or  agreement,  except  in  the  case  of  a  railroad  corporation 
lying  partly  in  this  State  and  partly  in  another  State,  in  which  case 
the  tax  shall  be  upon  such  proportion  of  the  amount  contracted  for  as 
the  number  of  miles  of  the  line  of  such  railroad  corporation  in  this 
State  bears  to  the  whole  number  of  miles  of  the  line  of  such  railroad 
corporation. 

This  act  is  not  to  be  construed  as  requiring  the  payment  of  any  tax 
for  the  admitting  to  record  of  any  deed  of  trust,  mortgage,  contract^ 
agreement,  or  other  writing  supplemental  to  any  deed  of  trust,  mort- 
gage, contract,  agreement,  or  other  writing  theretofore  admitted  to  re- 
cord, and  upon  which  the  tax  herein  imposed  has  been,  paid,  hereinafter 
called  the  original  instrument,  where  the  sole  purpose  and  effect  of 
the  said  supplemental  deed  of  trust,  mortgage,  contract,  agreement,  or 
other  writing  is  to  convey,  set  over,  or  pledge  property,  real  or  personal, 
in  addition  to  the  property  conveyed,  set  over,  or  pledged  in  the  origi- 
nal instrument,  or  in  lieu  of  or  substitution  for  the  property,  or  any 
part  thereof,  conveyed,  set  over,  or  pledged  in  the  original  instrument 
to  secure  or  to  better  secure  the  payment  of  the  amount  contracted  for 
in  the  original  instrument;  but  in  such  case  there  shall  be  no  tax  for 
the  admitting  to  record  of  said  supplemental  deed  of  trust,  mortgage, 
contract,  agreement,  or  other  ivriting. 

Any  deed,  contract  or  will  may  be  recorded  in  the  same  clerk's 
office  when  the  record  containing  such  deed,  contract  or  will  has  been 
destroyed  by  fire  or  otherwise,  free  of  tax. 

2.  The  collection  of  current  revenue  being  affected,  an  emergency 
is  declared  to  exist,  and  this  act  shall  be  in  force  from  its  passage. 

14-TC 


210  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  amend  and  re-enact  section  603  of  the  Code  of  Virginia,  as  here- 
tofore amended  and  re-enacted. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  sec- 
"tion  six  hundred  and  three  of  the  Code  of  Virginia,  as  heretofore 
amended  and  re-enacted,  be  amended  and  re-enacted  so  as  to  read  as 
follows : 

Sec.  603.  When  to  receive  them;  shall  advertise  and  give  written 
notice  of  the  time  and  place;  penalty  on  taxpayers  after  the  first  of 
December;  treasurers  to  call  on  each  taxpayer;  when  they  may  dis- 
train.— Each  treasurer  shall  commence  to  receive  the  State  taxes  and 
county  and  city  levies  on  or  before  the  first  day  of  July  of  each  year, 
or  as  soon  thereafter  as  he  may  receive  copies  of  the  commissioners' 
books,  and  continue  to  receive  the  same  up  to  the  first  day  of  December 
thereafter;  and  for  this  purpose  each  county  treasurer  shall  advertise 
for  at  least  ten  days  at  the  courthouse  and  at  the  voting  places  in  the 
magisterial  districts,  in  such  manner  as  may  be  necessary  to  give  gen- 
eral publicity  thereto,  upon  what  day  or  days  he  will  be  at  some  con- 
venient public  place  in  each  magisterial  district  to  receive  taxes  and 
levies,  and  lie  shall  at  least  ten  days  before  sitting  at  any  such  place 
notify  in  writing  each  taxpayer  in  that  vicinity  of  the  date  thereof, 
and  of  the  aggregate  amount  of  taxes  and  levies  due  by  him;  and  shall 
at  the  time  specified,  go  to  the  places  so  designated  and  remain  there 
one  day  or  more,  at  his  discretion,  for  the  purpose  of  receiving  the 
State  taxes  and  county  levies,  and  shall  receive  the  same,  and  so  forth. 
Any  person  failing  to  pay  any  State  taxes  or  county  and  city  levies 
to  the  treasurer  by  the  first  day  of  December  shall  incur  a  penalty 
thereon  of  five  per  centum,  which  shall  be  added  to  the  amount  of 
taxes  or  levies  due  from  such  taxpayer,  which,  when  collected  by  the 
treasurer,  shall  be  accounted  for  in  his  settlements. 

It  shall  be  the  duty  of  the  treasurer,  after  the  first  day  of  Decem- 
ber, to  call  upon  each  person  chargeable  with  taxes  and  levies  who  has 
not  paid  the  same  prior  to  that  time,  or  upon  the  agent,  if  any,  of  such 
person  resident  within  the  county  or  corporation,  for  payment  thereof; 
and  upon  failure  or  refusal  of  such  person  or  agent  to  pay  the  same, 
he  shall  prcoeed  to  collect  them  by  distress  or  otherwise ;  provided,  that 
should  it  come  to  the  knowledge  of  the  treasurer  that  any  such  person 
or  persons  owing  such  taxes  or  levies  is  moving  or  contemplates  moving 
from  the  county  or  corporation  prior  to  the  first  day  of  December,  he 
shall  have  power  to  collect  the  same  by  distress  or  otherwise  at  any 
time  after  such  said  bills  shall  have  come  into  his  hands ;  provided, 
further,  that  it  shall  not  be  necessary  for  the  treasurer  of  the  county 
of  Henrico  to  designate  or  to  go  to  any  place  other  than  the  county 
courthouse,  in  the  city  of  Eichmond,  in  order  to  receive  the  taxes  and 
levies  to  be  paid  to  such  treasurer. 


Chapter  VIII — Tax  System,  Partial  Segregation.  211 

CHAPTER  VIII. 
A  TAX  SYSTEM  INVOLVING  PARTIAL  SEGREGATION. 

The  most  satisfactory  system  of  taxation  is  the  one  that  imposes 
the  least  hardship  upon  the  taxpayer,  is  most  just  and  effective,  and, 
at  the  same  time,  is  the  least  complicated.  Judged  by  this  standard, 
and  adjusted  to  a  well-devised  plan  of  segregation  of  sources  of  rev- 
enue for  State  and  local  purposes,  the  principles  upon  which  our  present 
system  is  based,  and  which  are  the  result  of  years  of  experience  and 
of  the  best  thought  of  our  ablest  men,  may  be  said  to  be  essentially 
sound.  If  faithfully  administered,  they  would  distribute  the  burdens 
of  taxation  with  substantial  equity  among  all  individuals,  interests  and 
communities.  That  troubles  have  resulted  from  a  violation  of  those 
principles  is  not  so  much  the  fault  of  the  law  as  of  those  who  disregard 
it.  Yet  those  violations,  in  the  main,  have  not  been  the  fruit  of  a  de- 
liberate purpose  to  defraud,  but  have  grown  up  gradually  as  a  natural 
consequence  of  the  illogical  dependence  of  the  revenues  of  the  State 
upon  the  action  of  certain  officials  neither  chosen  nor  controlled  by 
State  authority. 

The  prime  ground  of  complaint  is  the  inequality  of  assessments, 
which  is  the  inevitable  outcome  of  this  inability  of  the  State  to  regu- 
late the  assessments  upon  which  its  revenues  are  levied. 

As  long  as  any  single  county  or  city  depresses  its  assessments  unduly, 
just  so  long  will  other  counties  and  cities  feel  obliged  to  keep  their 
assessments  down  also  in  order  to  avoid  paying  more  than  their  equi- 
table share  of  the  State's  income.  With  this  strong  temptation  ever 
present,  the  wonder  is,  not  that  assessments  should  be  unequal,  but  that 
their  inequality  should  not  be  more  pronounced.  The  separation  of 
State  and  local  revenues  is  a  method  b}^  which  substantial  reform  can 
be  attained. 

Each  locality  should  retain  and  enjoy  what  properly  belongs  to  it, 
a^nd  likewise  the  public  treasury  should  have  what  properly  belongs  to 
the  State.  It  is  very  desirable,  therefore,  in  the  interest  of  equalization 
of  assessments,  to  put  an  end,  as  far  as  possible,  to  the  dependence  of 
the  State  Treasury  upon  assessments  made  by  local  authorities. 

When  local  assessments  are  made  for  local  purposes  only,  there 
should  be  no  further  inducement  to  ignore  the  legal  requirement  that  all 
property  shall  be  assessed  at  its  fair  market  value.  No  community 
need  then  be  fearful  that  a  full  and  fair  assessment  of  the  property 
of  its  citizens  would  compel  them  to  bear  an  unfair  proportion  of  the 
obligations  of  the  State.  With  this  fear  removed,  local  pride  would 
create  a  generous  rivalry  among  the  counties  and  cities  for  the  attain- 
ment of  the  most  equitable  and  efficient  tax  system. 

Public  opinion,  which  generally  operates  locally,  would  demand  the 
listing  of  all  private  property  for  taxation  when  all  the  revenue  from 
it  would  be  locally  expended.  Persons  and  firms  would  be  the  more 


212  Report  of  Committee  on  Tax  Revision. 

reconciled  to  an  adequate  assessment  when  they  realized  that  the  taxes 
would  be  laid  out  in  their  own  sections,  and  a  general  community  sen- 
timent in  favor  of  fairer  assessments  could  be  the  more  readily  developed. 

With  the  rise  of  assessments  would  come  a  corresponding  fall  of  tax 
rates,  attracting  home  seekers  and  investors,  and  affording  a  diffused 
stimulation  to  business. 

A  greater  independence  of  action  in  tax  matters  would  breed  an 
increased  freedom  of  discussion  and  management,  resulting  in  an  au- 
tonomy or  home  rule  that  would  inevitably  work  for  the  development 
of  local  systems  in  strict  harmony  with  local  needs. 

Considerations  such  as  these  appear  to  be  responsible  for  the  marked 
tendency  toward  segregation  in  a  number  of  the  States.  In  California, 
where  the  system  has  been  worked  out  and  applied  almost  in  its  en- 
tirety, it  has  been  characterized  as  conspicuously  successful. 

It  is  evident  that  the  sources  of  revenue  of  some  of  the  States  are 
not  such  as  to  admit  of  a  convenient  division,  and  hence  they  are  able 
to  resort  to  partial  segregation  only.  Virginia  is  strikingly  favored  in 
having  certain  revenues  from  well-defined  sources  to  provide,  within  a 
comparatively  short  while,  for  practically  the  whole  of  her  annual 
budget.  If  any  deficit  should  occur  it  can  easily  be  met  by  requisitions 
made  upon  the  counties  and  cities  as  units  by  the  State  Board  of  Taxa- 
tion, as  provided  for  in  the  bill  accompanying  this  report. 

This  plan  is  so  elastic  that  the  State  can  get  whatever  revenue  may 
be  needed  for  an  economical  administration,  and  no  more.  It  has 
many  distinct  advantages  over  an  ad  valorem  tax  levied  at  a  specific 
rate  upon  all  property  for  State  purposes.  The  latter  would  yield  a 
revenue  which,  if  in  excess  of  actual  requirements,  might  lead  to  ex- 
cessive and  useless  appropriations,  while,  if  it  fell  below  such  require- 
ments, the  State  would  have  to  negotiate  a  temporary  loan  (as  has  been 
the  case)  to  meet  current  expenses. 

The  ideal  system  of  segregation  is  obviously  the  setting  aside  for 
the  benefit  of  localities  of  those  subjects  that  are  local  in  their  nature, 
and  the  assignment  to  the  State  of  those  subjects  that  are  more  general 
in  their  nature,  location  or  operation.  In  the  plan  of  segregation  sug^ 
gested  in  this  report,  this  general  scheme  is  adhered  to  as  far  as 
practicable. 

The  effort  has  been  made  to  accomplish  a  separation  as  complete 
as  possible  without  doing  violence  to  the  general  machinery  for  the 
assessment  of  property  and  the  collection  of  taxes,  and  with  as  little 
interference  as  possible  with  the  functions  and  prerogatives  of  local 
officials. 

Under  this  plan  it  is  feasible  to  assign  to  the  counties  and  cities  the 
whole  sum  which  the  State  has  heretofore  derived  from  the  tax  of  thir- 
ty-five cents  on  the  one  hundred  dollars  of  assessed  value  of  real  estate 
and  tangible  personal  property,  while  permitting  them  to  retain  every 
source  of  revenue  which  they  now  enjoy  except  the  tax  upon  intangi- 
bles, upon  the  rolling  stock  of  railroads,  and  that  upon  premiums  of 


Chapter  VIII — Tax  System,  Partial  Segregation.  213 

insurance   companies.      To   many   localities   there   will   be   a   net   gain 
under  this  distribution. 

In  our  judgment,  the  proposed  segregation  would  accomplish  im- 
mediately a  reasonable  degree  of  equalization;  but  should  that  expec- 
tation be  disappointed,  the  localities  should  be  required  to  establish  for 
themselves  local  boards  of  equalization,  which  would  be  sure  to  respond 
to  the  local  demand  for  equality.  Under  segregation,  as  here  proposed, 
the  inequalities  in  any  one  jurisdiction  would  not  affect  other  jurisdic- 
tions nor  the  treasury  of  the  State,  except  in  so  far  as  they  affect  in- 
tangible property  and  incomes,  but  would  concern  that  locality  only  in 
which  they  exist,  which  would  have  both  the  incentive  and  the  power 
to  correct  the  evil. 

A  State  Board  of  Taxation,  under  this  segregation  plan,  composed 
of  the  Governor,  the  Auditor  of  Public  Accounts  and  the  Chairman  of 
the  State  Corporation  Commission,  would  meet  every  requirement  and 
obviate  the  necessity  of  a  more  expensive  bureau.  The  Auditor  is 
necessarily  in  close  touch  with  the  whole  tax  system  and  in  better  po- 
sition to  discover  its  defects  and  suggest  remedies  therefor  than  any 
one  else,  and  by  calling  for  necessary  reports  the  Board  could  easily 
and  without  undue  friction  enforce  rules  and  regulations  pertaining  to 
a  more  equitable  and  efficient  administration  of  the  tax  laws. 

Any  excess  of  fixed  charges  and  special  appropriations  over  the 
receipts  from  the  segregated  sources  would,  as  before  remarked,  be 
provided  for  by  requiring  each  county  and  city  to  pay  into  the  State 
treasury,  at  such  time  as  the  State  Board  might  direct,  its  just  appor- 
tionment, based  upon  its  actual  valuations  as  determined  by  said  Board. 
This  system  is  sufficiently  elastic  to  meet  every  emergency,  while 
taking  from  the  taxpayers  no  more  money  than  is  actually  required  for 
governmental  purposes. 

During  the  month  of  February  of  each  year  the  State  Board  of 
Taxation  would  make  an  estimate  of  the  probable  revenue  that  would 
be  available  for  State  purposes  at  the  beginning  of  the  next  ensuing 
fiscal  year,  and,  also,  of  the  probable  amount  that  would  be  needed 
for  State  purposes  at  said  period.  If  such  estimated  needs  should  be 
in  excess  of  the  expected  available  revenues,  then,  in  that  event,  the 
Board  would  call  upon  the  several  counties  and  cities  to  contribute  to 
the  State  Treasury  a  sufficient  sum  to  meet  the  requirements  of  the  State 
government,  and  no  more. 

Features  of  the  Segregation  Plan. 

This  plan  does  not  take  from  any  county  or  city  one  cent  of  tax 
which  it  now  derives  from  any  source,  except  that  upon  intangibles, 
which,  it  is  believed,  has  been  largely  evaded,  and  that  upon  insurance 
companies  and  the  rolling  stock  of  railroads — the  latter  having  been  a 
matter  of  contention  for  years. 

It  permits  the  counties  and  cities  to  retain  the  revenue  which  the 
State  has  heretofore  derived  from  a  tax  of  thirty-five  cents  on  the 


214  Report  of  Committee  on  Tax  Revision. 

one  hundred  dollars7  valuation  of  real  estate  and  tangible  personal 
property,  amounting  in  the  aggregate  to  about  $2,301,443.22. 

It  allows  the  counties  and  cities  to  retain  the  taxes  now  derived 
by  the  State  from  the  physical  properties  of  water,  heat,  light  and 
power  companies,  and  steamboat  and  steamship  companies,  and  express, 
telephone  and  telegraph  companies,  and  also  releases  to  them  the  State 
tax  heretofore  collected  on  the  physical  property  of  railway  companies 
other  than  rolling  stock. 

It  does  not  interfere  with  the  present  method  of  returning  to  the 
counties  and  cities  one-third  of  the  capitation  taxes  paid  into  the  State 
treasury,  nor  with  the  appropriations  by  the  State  of  money  for  the 
public  schools,  the  higher  educational  and  other  institutions  of  the 
State;  for  pensions;  for  the  Sinking  Fund,  and  for  the  interest  on 
the  public  debt. 

It  contemplates  that  the  State  shall  continue  to  bear  the  expense 
incident  to  felony  convictions,  while  the  counties  and  cities  pay  the 
costs  of  misdemeanor  cases. 

It  leaves  to  the  counties  and  cities  a  larger  measure  of  freedom  in 
the  matter  of  taxation  than  they  have  ever  before  enjoyed,  while  re- 
lieving the  State  of  having  its  resources  dependent  upon  local  assess- 
ments over  which  it  now  exercises  no  satisfactory  control. 

It  definitely  removes  the  temptation  for  localities  to  depress  their 
assessments  in  order  to  avoid  paying  an  undue  share  of  the  State's 
revenue. 

It  is  believed  that  the  adoption  of  this  plan  would  prove  an  effective 
check  upon  improvident  and  extravagant  expenditures,  which  would 
be  made  conspicuous  by  increasing  the  drafts  upon  the  local  treasuries, 
and  would  prompt  the  Executive  to  a  judicious  employment  of  the  veto 
power  over  appropriations,  which  he,  as  the  head  of  the  State  Board 
of  Taxation,  might  know  to  be  excessive. 

The  subjects  segregated  for  State  purposes  would  yield  the  fol- 
lowing revenues: 

Adhesive  stamps    $      13,504  20 

Automobile  license    115,435  88 

Banks    176,296  56 

Charters    46,804  93 

Clerks  of  courts,  recording 231,310  27 

Collateral   inheritance    45,879  68 

*  Corporations : 

Railroads  and  canals '  $1,195,118  15 

Express  companies   26,479  02 

Steamship  companies .  3,945  49 

Sleeping  car  companies   5,604  78 

Telephone  and  telegraph  companies.  .  . .  57,210  57 

Water,  heat,  light  and  power 24,421  79 

i    Q19  779    QQ 


*As  of  June  30,   1914. 


Chapter  VIII — Tax  System,  Partial  Segregation.  215 

Courts,  money  unclaimed $        1,956  30 

Costs  recovered   9,453  94 

Dispensaries    20,370  17 

Departmental  fees  and  taxes 23,288  21 

Corporation  franchise  tax 186,615  00 

Eegistration   fees    71,189  30 

Insurance  companies    406,036  16 

Interest  on  State  deposits 34,231  57 

Judges — salary  proportions    62,034  39 

Oysters    83,003  15 

Penitentiary 123,855  82 

Printed  records   10,779  46 

Taxes  : 

Capitation    $    459,609  01 

Income   193,465  12 

Intangibles    1,313,171  22 

Money    51,650  89 

Delinquent  taxes   collected 1,893  79 

Licenses — general    855,846  79 

Licenses — liquor    489,428  79 

3,365,065  61 


$6,339,890  40 


216  Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  provide  for  a  State  board  of  taxation,  to  define  its  powers  and  duties, 
and  to  prescribe  the  duties  of  certain  officers  of  the  several  counties 
and  cities  of  the  State  in  relation  thereto. 

1.  Be  it  enacted  by  the  general  assembly  of  Virginia,  That  there  is 
hereby  created  a  board,  which  shall  be  known  as  the  State  board  of  tax- 
ation, which  shall  consist  of  the  governor,  the  chairman  of  the  State  cor- 
poration commission  and  the  auditor  of  public  accounts,  who  shall  ex- 
officio  be  members  of  said  board  and  shall  receive  no  compensation  for 
serving  thereon. 

Officers. 

2.  The  governor  shall  be  the  chairman,  and  the  auditor  of  public 
accounts  shall  be  the  secretary  of  the  said  board,  which  may  select  such 
assistants  as  it  may  deem  necessary,  whose  compensation  shall  be  fixed 
by  the  board  and  paid  out  of  the  funds  appropriated  for  the  contingent 
expenses  thereof. 

Location. 

3.  The  board  shall  have  its  office  in  the  city  of  Eichmond,  and 
may  hold  meetings,  have  hearings  and  make  investigations  relating  to 
taxation  at  such  times  and  places  as  the  board  may  determine. 

Processes. 

4.  The  board  shall,  in  all  matters  within  its  jurisdiction,  have  the 
power  and  authority  to  award  and  issue,  have  served  and  executed  and 
returned,  any  writ,  notice,  process,  order  or  order  of  publication  which 
may  by  law  be  awarded,  issued,  served,  executed  or  returned  by  or  to 
any  court  of  law  or  equity  in  this  Commonwealth  for  the  purpose  of 
compelling  the  attendance  of  witnesses,  the  production  of  books  and 
papers,  and  the  enforcement  and  execution  of  its  findings,  orders  and 
judgments. 

All  writs,  processes  and  orders  of  the  board  shall  run  in  the  name 
of  the  Commonwealth,  shall  be  signed  by  the  chairman  of  the  board 
and  be  attested  to  by  its  secretary,  or  any  clerk  designated  by  the 
board  for  that  purpose,  and  shall  be  directed  to  any  sergeant,  sheriff 
or  constable  of  any  county  or  city  wherein  such  writ,  process  or  order 
is  to  be  executed.  All  writs,  notices,  processes  or  orders  of  the  board 
may  be  executed  and  returned  in  like  manner  and  upon  like  persons  or 
property  as  the  processes,  writs,  notices  or  orders  of  the  courts  of 
record  of  this  Commonwealth,  and  when  so  served,  executed  and  returned 
shall  have  the  same  legal  effect.  The  officer  serving  or  executing  an^ 
writ,  notice,  process  or  order  of  the  board  shall  receive  the  same  fees 
allowed  by  law  for  like  services  to  sergeants  and  sheriffs  of  the  counties 


Chapter  VIII — Tax  System,  Partial  Segregation.       .        217 


and  cities.  Any  officer  who  shall  fail  to  execute  and  return  any  writ, 
process,  notice  or  order  of  the  board  shall  be  subject  to  the  same  pen- 
alties provided  by  law  for  the  failure  to  execute  and  return  the  process 
of  any  court,  which  penalties,  after  due  notice  to  the  officer  so  failing, 
may  be  enforced  by  the  judgment  of  the  board,  which  is  hereby  clothed 
with  power  to  carry  this  provision  into  effect. 

The  board  shall  make  such  allowances  for  fees  and  mileage  of  wit- 
nesses summoned  before  it  as  are  allowed  by  law  for  witnesses  sum- 
moned by  the  Commonwealth  in  felony  cases,  to  be  paid  out  of  the 
fund  at  the  disposal  of  the  board. 

When  holding  meetings,  hearings  or  investigations  outside  of  the 
city  of  Richmond  the  members  and  employees  of  the  board  shall  be 
allowed  their  actual  expenses,  to  be  certified  and  paid  as  are  the  ex- 
penses of  members  of  the  boards  of  visitors  of  public  institutions. 

General  Duties. 

5.  The  board   shall   have  general   supervision   of   the    administra- 
tion of  the  laws  relating  to  the  assessment,  collecting  and  disbursement 
of  the  revenue  of  the  State  and  its  sub-divisions;  it  shall  from  time  to 
time  investigate  the  tax  conditions  in  the  several  localities  of  the  Com- 
monwealth; it  shall  make  and  keep  accurate    accounts    of    the    gross 
amounts  collected  and  disbursed  by  each  county,  city  and  town  of  the 
Commonwealth,  and  of  the  aggregate  assessments  of  property  therein, 
and  of  the  sales  and  transfers  of  real  estate,  which  shall  in  every  case 
embrace  the  actual  consideration  involved,  and  to  that  end  may  require 
of  each  treasurer,  clerk  of  court,  or  other  local  or   State  officer  such 
reports  as  it  may  deem  advisable.    It  shall  make  a  comprehensive  report 
to  the  general  assembly  at   each  regular   session  thereof,    showing  in 
detail  the  operations  of  the  board  since  its  last  report,  giving  a  general 
summary   of  the  tax   conditions   throughout   the   Commonwealth,   and 
making  such   recommendations   for  legislative  action   as   may   tend   to 
remove  inequalities  and  other  imperfections  in  the  manner  of  assessing 
and  collecting  State  and  local  taxes. 

Estimates  and  Apportionments. 

6.  During  the  month  of   February  of  each  year  the  board  shall 
make  an  estimate  of  the  probable  revenues  that  will  be  available  for 
State  purposes  at  the  beginning  of  the  next,  ensuing  fiscal  year,  and 
also  of  the  probable  revenues  that  will  be  needed  for  State  purposes 
at  the  said  period.     If  such  estimated  needs  shall  be  in  excess  of  the 
expected  available  revenues,  calculated  as  aforesaid  by  the  board,  then, 
in  that  event,  the  board  shall  call  upon  the  several  counties  and  cities 
of  the  Commonwealth  to  contribute  to  the  State  treasury  a  sufficient 
sum  to  meet  the  requirements  of  the  State  government  ascertained  as 
aforesaid;  but  in  no  event  shall  such  estimate  be  more  than  five  per 
centum  in  excess  of  the  expenditures  of  the  State  government  for  the 
last  preceding  year,  unless  otherwise  ordered  by  the  express  ena.  .rnent 


218  Report  of  Committee  on  Tax  Revision. 

of  the  general  assembly.  In  ascertaining  the  quota  of  such  contribu- 
tions to  be  made  by  each  county  and  city,  the  board  shall  apportion  it 
in  accordance  with  the  aggregate  taxable  wealth  of  said  county  and 
city,  to  be  ascertained  in  such  manner  as  the  board  may  determine. 
At  the  time  of  making  such  estimates,  should  it  appear  that  the  revenue 
derived  from  the  sources  available  for  taxation  by  the  State  shall  be 
sufficient  to  meet  all  reasonable  demands  upon  the  State  treasury,  then 
the  board  shall  make  no  requisition  upon  the  counties  or  cities. 

Notification. 

7.  On  or  before  the  first  day  of  March  of  each  year  the  secretary 
of  the  board  shall  notify  in  writing  the  treasurer  of  each  county  or 
city  of  the  total  supplemental  sum  needed  as  aforesaid  for  State  pur- 
poses, and  of  the  proportion  due  from  such  county  or  city  estimated 
by  the  board  as  aforesaid,   and  such  treasurer  shall  communicate  the 
said  notice  to  the  chairman  of  the  board  of  supervisors  or  the  president 
of  the  most  numerous  branch  of  the  city  council  or  the  head  of  the 
governing  board  of  such  county  or  city,  and  such  board  of  supervisors, 
city  council  or  governing  board  shall  fix  the  county  or  city  levy  with 
reference  to  such  contribution  to  the   State  treasury.     The  treasurers 
of  the  several  counties  and  cities  shall  remit  to  the  treasurer  of  the 
Commonwealth  on  or  before  the  first  day  of  February  following  such 
notification  the  amount  stated  therein  as  being  due  from  such  county 
or  city. 

In  the  event  the  said  board  of  supervisors,  city  council  or  govern- 
ing board  shall  fail  or  refuse  to  make  such  levy,  or  the  treasurer  of 
such  county  or  city  fail  or  refuse  to  pay  such  sum  so  required  into 
the  State  treasury  within  the  time  provided,  then,  or  in  either  event, 
the  same  may  be  enforced  by  mandamus  against  any  such  officials. 

Refunding". 

8.  Should  it  become  apparent  to  the  board  upon  the   receipt  by 
the  State  treasury  of  all  the  contributions  mentioned  in  the  preceding 
section  that  the  aggregate  of  the  same  will  be  substantially  more  than 
is  necessary  to  meet  the  reasonable  and  probable  requirements  of  the 
State  treasury  for  the  year  for  which  the  contribution  was  made,  then, 
in  that  event,  the  Board  shall  refund  the  excess  to  the  several  counties 
and  cities  in  the    same    proportion    as    the    same    shall    have    been 
contributed. 

Appropriation. 

9.  The  sum  of  ten  thousand  dollars,  or  as  much  thereof  as  may 
be  necessary,  is  hereby  appropriated  to  carry  out  the  provisions  of  this 
act. 

Repeal. 

10.  All  acts  or  parts  of  acts  inconsistent  with  this  act  are  hereby 
repealed. 


'Chapter  IX— State  Tax  Commission.  219 

CHAPTER  IX. 
A  STATE  TAX  COMMISSION. 

There  are  certain  defects  in  the  revenue  system  of  Virginia  that 
in  our  opinion  cannot  be  cured  except  through  a  permanent  supervisory 
authority. 

Without  recapitulating  all  the  defects  that  have  been  pointed  out, 
we  may  repeat  here  that  real  estate,  as  well  as  personalty,  is  assessed 
and  taxed  at  widely  different  rates,  and  it  is  generally  true  that  rela- 
tively the  heaviest  taxes  are  paid  by  the  poorer  localities  and  the  poorer 
citizens. 

Again,  the  assessment  of  the  property  of  corporations  is  made  by 
a  body  different  from  and  acting  entirely  independently  of  the  assessors 
of  other  property.  This  makes  it  impossible  for  the  burden  of  taxation 
to  rest  equally  upon  certain  corporations  and  individuals  except  by 
the  merest  accident. 

In  the  next  place,  merchants  and  others  pay  to  the  Commonwealth 
a  tax  that  is  not  measured  by  the  value  of  their  property,  but  by  the 
amount  of  their  business.  In  practice,  the  assessment  of  this  tax  is 
made  by  the  man  who  pays  it;  for  the  Commissioner  of  the  Revenue 
does  not,  and  as  a  rule  cannot,  verify  the  statements  made  to  him. 
And  even  when  the  assessment  is  absolutely  correct,  a  tax  based  on 
the  amount  of  business  done  may  impose  a  burden  very  different  from 
that  imposed  by  a  tax  based  on  the  value  of  property.  To  fix  the  rate 
of  such  a  tax  justly  the  General  Assembly  needs  information  that  should 
be  collected  and  presented  as  carefully  as  is  the  information  relating 
to  corporations  of  any  kind.  We  believe  that  injustice  to  those  engaged 
in  mercantile  pursuits  is  no  less  harmful  to  the  Commonwealth  than 
injustice  to  railroads  or  power  companies. 

Finally,  in  this  connection  we  repeat  here  our  belief  that  the  local 
Commissioner  of  the  Revenue,  when  unguided  and  uncontrolled,  is  well- 
nigh  helpless  as  an  assessor  of  incomes  and  intangible  property.  With 
rare  exceptions  the  declaration  of  the  taxpayer  is  accepted  as  final,  so 
that  his  honesty  and  not  his  ability  fixes  the  amount  he  pays. 

In  view  of  these  conditions  we  wish  to  express  with  all  the  emphasis 
we  can  give  it  our  unanimous  opinion  that  the  Commonwealth  needs 
a  permanent  commission  or  board  to  supervise  the  administration  of 
the  tax  laws.  Whether  the  General  Assembly  should  or  should  not  de- 
termine to  separate  the  sources  of  revenue  for  the  State  from  those 
of  the  localities,  it  will  in  either  case  be  impossible  to  remedy  the  pres- 
ent abuses  and  inequalities  without  a  State  administrative  board;  and 
the  need  of  justice  in  distributing  a  tax  burden  of  many  millions  of 
dollars  a  year  among  the  citizens  of  the  State  is  too  great  to  require 
comment. 

Organization  of  a  Tax  Commission. 

Following  the  plan  for  a  partial  segregation  of  the  local  from  the 


220  Report  of  Committee  on  Tax  Revision. 

State  sources  of  revenue,  we  present  a  bill  for  the  creation  of  a  Tax 
Commission  that  should  aid  in  administering  the  laws. 

If  it  should  be  determined  that  the  general  property  tax  as  a  system 
of  State  revenue  is  to  be  retained,  we  recommend  that  the  Commission 
be  composed  of  three  men,  who  shall  be  appointed  by  the  Governor, 
subject  to  confirmation  by  the  Senate.  The  experience  of  other  States 
indicates  that  under  this  method  of  selection  fitness  rather  than  politi- 
cal considerations  will  determine  the  character  of  the  membership.  The 
term  of  office  should  be  at  least  six  years,  since  the  State  benefits  most 
by  the  service  of  experienced  men.  To  insure  their  independence  the 
members  should  not  be  removed  except  by  the  Governor  for  cause  shown, 
and  with  the  consent  of  the  Senate.  A  salary  should  be  attached  to 
membership  on  the  Commission  comparable  with  that  paid  to  other 
high  State  officials  and  in  keeping  with  the  importance  of  the  work 
to  be  done  and  the  character  of  the  men  who  are  fitted  to  do  it. 

The  following  table  shows  the  membership,  term,  salary  and  method 
of  selection  of  Tax  Commissions  as  they  exist  in  33  other  States.  It 
will  be  noticed  that  no  less  than  24  of  these  Commissions  have  been 
created  within  the  last  ten  years: 


Chapter  IX — State  Tax  Commission. 


221 


a  a  a      a  a 


OOO        OOOOOtn       ^00.0.0.0003.000000000300000 

S3  fe!  31  *1  1  BS  888  8  8  Er  8  8  38  88  8  3  |1  8  SS  8 


a  a  §  a  s  a  a   1  ^  o  1  a  B  g  e 


s  s  a  a  B  s  s    B  s    s 


II 


1? 


!  S3  .O  CO       W  06 1 

i  p  eo  'd 
aacfij   .a      a  a  a  a   .a 


RSSO.SSD.SV 
OODCC  03GOCO  C3GOCO! 


00^000000 

gg^seesee 


i  eo  IN  eo  co  co  <N 


c<i  tn  eo  eo  -*  10 


29 


j 

I ! 

1   03 

o!s 

O   hn 


C8  w   O   ^  tf  *C  "hri  oGcaajca*— t^*|Jdi''^fol-M'~sr'tr5rt         ri^rtrft         w~* 


222  Report  of  Committee  on  Tax  Revision. 

Powers  and  Duties  of  the  Tax  Commission. 

It  is,  of  course,  for  the  General  Assembly  to  determine  how  much 
money  shall  be  raised  for  purposes  of  the  government  and  to  fix  the 
rates  of  all  taxes.  A  Tax  Commission  can  aid  the  General  Assembly 
by  gathering  and  presenting  in  usable  form  before  each  regular  session 
information  relating  to  the  effect  of  every  tax,  and  of  the  tax  system 
as  a  whole,  upon  the  industries  and  general  welfare  of  the  Common- 
wealth, and  this  information  should  be  available  for  all  citizens.  It  is 
a  startling  and  dangerous  fact  that  even  highly  trained  business  men 
seldom  know  the  nature  and  purpose  of  the  taxes  they  pay,  how  much 
is  for  the  State,  how  much  for  the  localities,  and  how  the  amount  is 
apportioned.  Some,  therefore,  pay  without  question,  believing  that 
taxes,  like  death,  are  inevitable.  Others,  suspecting  that  the  calls  upon 
them  are  unreasonable,  try  to  evade  when  possible,  and  put  great  dif- 
ficulties in  the  way  of  a  fair  administration  of  the  law.  Our  citizens 
are  entitled  to  full  and  frank  information  about  the  working  of  our 
tax  system;  and  it  is  only  in  the  light  of  such  information  that  the 
General  Assembly,  meeting  as  it  does  for  only  sixty  days  in  two  years, 
can  legislate  to  the  best  advantage  for  the  financial  needs  of  the 
Commonwealth. 

But  useful  as  is  the  collection  of  such  information,  it  is  merely 
incidental  to  other  services  the  Commission  should  render.  We  con- 
sider that  its  chief  duty  should  be  to  supervise  and  aid  in  the  adminis- 
tration of  the  law  so  as  to  apportion  taxes  justly  among  individuals, 
corporations  and  localities.  In  a  word,  the  chief  function  of  a  tax 
commission  is  to  equalize  the  taxes. 

We  once  more,  however,  call  the  attention  of  the  General  Assembly 
to  the  fact  that  the  best  kind  of  equalization  is  that  which  is  effected 
in  the  first  making  of  the  assessments,  and  not  that  which  relies  on 
altering  and  readjusting  assessments  that  have  already  been  made.  We 
turn,  therefore,  to  the  duties  of  the  Tax  Commission  relating  to 
assessments. 

In  Relation  to  the  Real  Estate  Tax. 

In  many  respects  the  tax  on  real  estate  is  the  most  important  in 
our  system.  It  yields  a  large  revenue,  and  we  use  it  as  the  measure 
for  adjusting  other  taxes.  The  Tax  Commission,  therefore,  should 
render  every  aid  in  its  power  in  the  assessment  of  real  estate.  It 
should  have  in  this  work  the  same  power  that  the  Corporation  Com- 
mission now  has  in  the  assessment  of  mineral  lands — that  is,  the  power 
to  appoint  expert  assessors,  who  shall  co-operate  with  the  Commission- 
ers of  the  Revenue.  That  power  is  now  exercised-  by  the  Judges  of 
the  Circuit  and  Corporation  Courts.  The  bill  we  offer  under  this 
plan  transfers  it  from  the  Judges  to  the  Tax  Commission,  but  requires 
the  Commission  to  appoint  the  assessors  in  each  city  or  county  only 
from  a  list  of  ten  freeholders  furnished  by  the  Judges.  It  is  very 
obvious  from  the  unspeakable  inequalities  that  now  prevail  that  ap- 


Chapter  IX— State  Tax  Commission.  223 

pointment  by  the  Judges  has  not  worked  well.  There  are  many  Judges 
who  have  made  excellent  appointments,  and  have  advised  and  instructed 
their  appointees  with  care  and  ability.  There  are  some,  however,  who 
have  had  little  opportunity  to  acquaint  themselves  with  the  nature  of 
the  work,  its  difficulties  and  importance.  To  them  the  appointment  of 
assessors  is  rather  an  incidental  duty,  and  decidedly  remote  from  their 
normal  judicial  functions.  Under  such  circumstances  uniform  and 
equal  assessments  throughout  the  State  are  not  to  be  expected.  If 
there  is  to  be  an  approach  to  fairness  and  uniformity  in  a  State  tax 
on  real  estate,  it  is  right  that  all  the  assessors  of  real  estate  should 
be  appointed  by  the  same  power,  should  receive  their  instructions  from 
the  same  source,  and  should  be  responsible  to  and  under  the  super- 
vision of  the  same  authority  in  the  performance  of  their  duties.  It  is 
also  necessary  for  the  supervising  authority  to  advise  and  guide  in  the 
work,  to  be  familiar  with  methods  of  appraising  values,  and  qualified 
to  instruct  assessors  and  judge  the  efficiency  of  their  work. 

The  Tax  Commission  should  prepare  and  furnish  to  assessors 
reasonable  classification  plans,  and  in  consultation  with  them  agree 
on  proper  standard  and  "basing"  values.  Few  things  do  more  to 
promote  accuracy  of  assessment  than  classification.  The  appraisal 
of  a  large  plantation  in  a  lump  sum  as  a  unit  is  apt  to  be  at  best 
only  approximate.  But  if  it  be  known  what  part  of  the  land  on  it  is 
arable,  wooded,  swamp,  mountainous,  etc.,  the  value  can  be  more  closely 
and  certainly  determined.  Indeed,  every  intelligent  assessor  has  in 
his  mind  some  general  classification  scheme  of  his  own.  The  important 
thing  is  that  the  scheme  should  be  uniform  in  nature  for  all  assessors. 
This  does  not  mean,  of  course,  that  identical  classifications  should  be 
made  everywhere.  Mineral  lands  need  to  be  classified  very  differently 
from  farming  lands.  A  classification  for  agricultural  regions  would 
be  inapplicable  to  urban  properties.  In  one  case  the  value  of  the  land 
is  due  mainly  to  its  direct  productivity,  and  it  should  be  classified 
mainly  on  that  basis ;  in  the  other  case,  where  the  value  is  due  to  the 
location  of  the  land,  location  would  be  the  basis  of  classification.  When 
the  classification  has  been  completed,  there  should  be  fixed  for  each 
class  a  standard  value  in  each  locality.  A  standard  value  is  that  at 
which  a  certain  amount  of  property  of  the  class  under  consideration 
would  change  hands  in  a  normal  transaction.  The  assessment  of  any 
particular  piece  of  property  might  well  differ  from  this  standard  be- 
cause of  accessibility,  water  supply,  unusual  fertility  or  the  lack  of  it, 
or  for  other  special  causes.  Assessors  should  give  due  consideration 
to  all  such  conditions ;  but  whenever  the  assessment  is  above  or  below 
the  standard  fixed  for  the  class,  they  should  be  prepared  to  specify  the 
actual  conditions  that  have  determined  their  judgment. 

A  number  of  schemes  of  classification  are  now  in  operation  in  this 
country.  Particularly  for  urban  property  they  have  been  highly  de- 
veloped, and  for  several  of  them  it  is  claimed  that  they  work  with 
practically  mechanical  precision.  We  do  not  present  such  a  scheme  for 
the  reason  that  we  do  not  think  its  details  should  be  fixed  bv  law.  It 


224:  Report  of  Committee  on  Tax  Revision. 

should  be  subject  to  easy  readjustment  with  changing  conditions.  We 
limit  ourselves  to  the  recommendation  that  a  permanent  Tax  Com- 
mission, after  conference  with  local  officials,  be  required  to  devise  and 
publish  a  scheme  of  classification  for  real  estate,  together  with  a  system 
of  standard  values. 

It  will  be  noticed  that  the  bill  presented  gives  a  Tax  Commission 
no  arbitrary  power  over  real  estate  assessments.  The  local  assessors 
and  Commissioners  of  the  Eevenue  are  the  officials  selected  to  assess 
property,  and  the  Tax  Commission  should  have  no  power  to  force  them 
to  violate  their  judgment.  But  conditions  and  problems  are  constantly 
arising  for  which  the  local  officials  need  information  and  advice.  It 
ehould  be  a  chief  duty  of  members  of  the  Tax  Commission  to  spend 
as  much  time  as  possible  with  these  officials  consulting,  instructing, 
encouraging  and  advising  them,  giving  out  information  assembled  and 
tabulated  at  the  office  of  the  Commission,  explaining  in  each  locality 
the  methods  of  handling  doubtful  questions  that  have  worked  well  in 
other  localities,  and  impressing  upon  them  the  importance  of  keeping 
up  the  standards  agreed  upon  in  the  interest  of  equality  and  justice. 
The  Commission  will  thus  afford  not  only  practical  aid,  but  great  moral 
support,  to  men  that  need  it  in  order  to  resist  the  strong  pressure  upon 
them  to  undervalue  and  to  show  partiality.  It  will  relieve  many  a  local 
officer  if  he  can  refer  his  friends  and  political  supporters  to  the  Tax 
Commission  as  responsible  for  raising  assessments  which  he  knows  to 
be  too  low,  but  which  he  cannot  raise  without  giving  offense  and  alien- 
ating the  good  will  and  support  of  individuals  whom  he  would  prefer 
to  conciliate.  It  is  no  reflection  on  the  honesty  and  efficiency  of  our 
local  officials  to  relieve  them  as  far  as  possible  from  the  ill-will  that 
the  nature  of  their  duties  is  bound  to  excite. 

In  spite  of  every  legal  provision,  it  will  occasionally  happen  that 
poor  assessments  are  made.  In  such  a  case  there  is  at  present  no  means 
of  guarding  the  interest  of  the  Commonwealth  and  protecting  against 
unfair  discrimination  those  localities  where  assessments  are  just.  This 
duty  can  be  discharged  only  by  a  permanent  Tax  Commission  that 
will  work  constantly  to  familiarize  itself  with  values  in  different  regions 
sufficiently  to  detect  assessments  that  are  poor.  To  set  aside  such  an 
assessment,  we  recommend  that  the  Tax  Commission  be  empowered  to 
apply,  in  the  name  of  the  Commonwealth,  to  the  Circuit  or  Corporation 
Court  of  the  locality  where  it  is  made;  and  if  the  court  upon  the  evi- 
dence submitted  finds  the  assessment  to  be  unfair,  it  shall  have  the 
power  to  order  a  complete  or  partial  reassessment  in  that  locality.  We 
are  convinced  that  recourse  to  the  court  will  very  seldom  be  necessary, 
but  a  provision  for  it  will  be  a  strong  preventive  of  poor  work  on  the 
part  of  a  negligent  or  intriguing  official. 

In  Relation  to  the  Tax  on  Personal  Property. 

The   duties   of   a   Tax   Commission   relating   to   the   assessment   of 


Chapter  IX — State  Tax  Commission.  225 

tangible  personal  property  are  so  similar  to  their  duties  in  connection 
with  real  estate  that  they  require  no  additional  description. 

With  intangible  personalty,  however,  it  is  different.  So  long  as 
the  Commonwealth  continues  to  tax  personal  property,  it  will  be  neces- 
sary in  the  interest  of  justice  to  have  some  way  of  checking  the  declara- 
tions of  the  owners  of  it.  It  is  very  difficult  to  devise  methods  of 
doing  this  that  would  be  effective  without  being  inquisitorial,  but  we 
believe  that  under  proper  control  reasonable  inquiry  may  be  made  into 
the  accuracy  of  taxpayers'  statements  without  being  either  insulting 
or  damaging  to  their  interests.  To  that  end  we  recommend  that  the 
duties  of  Examiners  of  Records  be  extended,  so  that  they  may  render 
in  connection  with  the  property  and  income  of  living  persons  services 
similar  to  those  they  now  render  in  assessing  property  left  by  a  person 
deceased.  For  the  services  to  be  effective  it  will  be  necessary  to  give 
these  officials  power  not  only  to  examine  records,  but  also  to  examine 
under  oath  taxpayers  or  their  agents,  and  such  witnesses  as  are  be- 
lieved to  have  pertinent  information.  It  is  obvious,  however,  that  such 
power  might  be  used  by  overzealous  local  officials  to  harass  and  perse- 
cute citizens  whose  declaration  is  correct  aind  whose  reputation  or 
business  interests  would  suffer  either  by  being  subjected  to  investiga- 
tion or  by  the  publication  of  their  private  affairs.  Therefore,  we  pre- 
sent a  bill  which  provides  that  the  Examiner  of  Records  shall  com- 
municate first  to  the  Tax  Commission  such  grounds  as  he  has  for  re- 
garding as  inaccurate  the  declaration  of  a  taxpayer  to  a  Commissioner 
of  the  Revenue ;  and  only  when  the  Tax  Commission  finds  these  grounds 
reasonable,  and  authorizes  him  to  do  so,  shall  the  Examiner  proceed 
with  the  investigation.  Furthermore,  our  bill  provides  that  all  infor- 
mation gathered  in  the  course  of  such  an  investigation,  except  matters 
required  by  law  to  be  entered  on  an  assessment  roll  or  book,  shall  be 
held  as  confidential. 

We  are  aware  that  our  bill  will  be  met  by  the  objection  that  agencies 
somewhat  similar  have  been  tried  in  Ohio  and  other  States  with  results 
more  harmful  than  useful.  The  objection  is  well  taken,  but  we  believe 
there  are  considerations  that  weaken  its  force  when  urged  against  our 
recommendation. 

The  harmful  results  referred  to  are,  first,  that  the  activities  of  thece 
officials  subject  honest  citizens  to  undue  annoyance,  and  even  persecu- 
tion. Against  this  we  have  provided  by  putting  the  work  into  the 
hands,  not  of  self-constituted  spies  and  informers,  but  of  a  reputable 
body  of  men  who  are  already  known  to  our  citizens,  and  by  subjecting 
their  activities  to  the  supervision  and  control  of  a  high  State  board. 
The  second  alleged  harmful  result  is  that  their  activities  drive  capital 
out  of  the  State.  Wre  believe,  however,  that  this  result  should  be  at- 
tributed rather  to  the  rate  imposed  than  to  a  mere  abstract  fear  of 
informers,  and  that  under  a  reasonable  rate  capital  will  not  leave 
the  State.  It  is  unreasonable  under  any  circumstances  to  suppose  that 
securities  or  any  other  form  of  intangible  property  that  can  be  moved 
will  be  allowed  to  remain  in  a  State  where  it  will  be  forced  to  t>av  a 

15-TC 


Report  of  Committee  on  Tax  Revision. 


confiscatory  tax.  So  long,  indeed,  as  it  can  be  concealed,  or  through 
connivance  of  assessors  can  evade  payment,  it  may  remain,  but  any 
serious  attempt  to  collect  the  tax  will  put  it  to  flight.  Capital,  there- 
fore, in  our  opinion,  will  not  be  driven  from  Virginia  except  by  exorbi- 
tant taxation;  and  a  reasonable  extension  of  the  duties  of  Examiners 
of  Record  may  be  regarded  without  apprehension.  It  is  the  difficulty 
of  finding  and  assessing  intangible  property  that  has  led  in  some  States 
to  its  partial  or  total  exemption  from  taxation.  Neither  public  opinion 
nor  considerations  of  justice  call  for  such  a  policy  in  Virginia. 

In  Relation  to  Licenses. 

The  heterogeneous  group  of  payments  known  in  this  State  as  "li- 
cense taxes"  is  in  a  chaotic  condition.  They  have  been  imposed  from 
time  to  time  as  new  forms  of  enterprise  arose;  they  are  often  crudely 
adjusted  to  the  ability  of  the  payer;  and  little  attention  has  been 
given  to  their  influence  on  business.  What  is  known,  for  instance, 
as  a  merchant's  license  is  not  a  license  in  the  true  sense;  it  is  a  tax 
in  lieu  of  the  property  tax,  and,  on  the  whole,  it  is  an  admirable  sub- 
stitute for  it.  That  it  is  badly  administered  is  a  matter  of  common 
knowledge,  and  the  rates  of  assessment,  as  we  have  said  in  another 
connection,  in  our  opinion,  have  been  wrong.  Furthermore,  the  local 
taxes  on  merchants  are  very  variable  and  often  too  high.  Business 
has  not  suffered,  however,  in  great  degree,  because  the  payment  has 
been  widely  evaded.  Again,  there  is  no  justification  in  licenses  required 
of  professional  men,  in  addition  to  the  income  tax,  except  the  need  of 
revenue,  and  public  policy  would  require  the  satisfying  of  that  need 
iu  some  other  way.  A  graded  license  tax  on  professional  men  in  lieu 
of  an  income  tax  would  be  far  more  defensible.  In  short,  the  whole 
field  of  licenses  should  be  carefully  studied,  the  payments  should  be 
adjusted  on  more  reasonable  grounds,  and  better  methods  of  admin- 
istering the  law  should  be  devised.  To  do  this  effectively,  however,  to 
make  the  burden  imposed  by  these  taxes  uniform  with  that  imposed 
by  a  property  tax,  and  to  watch  their  effect  on  industrial  conditions, 
would  require  a  close  observation  of  their  working  through  a  period, 
not  of  several  months,  but  of  several  years.  The  relation  of  taxation 
to  business  is  very  close,  and  the  haphazard  system  that  now  prevails 
is  certainly  not  compatible  with  intelligent  efforts  to  promote  the  pros- 
perity of  the  Commonwealth.  We  see  no  means  of  providing  the  in- 
formation needed  for  wise  legislation  except  through  some  permanent 
body  created  for  the  purpose. 

In  Relation  to  Corporations. 

We  strongly  recommend  that  the  same  body  that  supervises  tlie 
other  parts  of  our  tax  system  should  likewise  have  charge  of  the  work 
in  this  field  now  done  by  the  Corporation  Commission.  There  seerns 
to  be  no  reason  why  the  assessment  of  mineral  lands  was  put  upon  this 


Chapter  IX — State  Tax  Commission.  227 


Commission,  except  that  there  was  no  other  agency  existing  to  which 
the  General  Assembly  might  entrust  it.  The  same  is,  in  part,  true 
of  the  assessment  of  corporations;  though  an  additional  reason  is  found 
in  the  fact  that  corporations  had  to  make  certain  reports  to  the  Com- 
mission for  other  purposes,  and  it  was  assumed  that  these  reports  might 
be  made  to  suffice  for  purposes  of  assessment.  Our  recommendation 
that  the  Commission  be  relieved  of  these  duties  is  in  no  way  intended 
as  a  criticism  of  the  way  it  has  discharged  them.  It  is  based  on  our 
belief  that  uniformity  and  equality  require  that  the  supervising  au- 
thority should  be  the  same  for  all  subjects  of  State  taxation.  This 
appears  to  us  so  obvious  as  to  require  no  comment. 


Report  of  Committee  on  Tax  Revision. 


A  BILL 

To  create  a  State  tax  commission;  to  define  its  powers  and  duties; 
to  fix  the  compensation  of  its  members,  and  to  appropriate  money 
to  carry  out  the  provisions  of  this  act. 

1.  Be    it    enacted    by    the    General    Assembly    of    Virginia,    That 
there  is  hereby  created  a  commission  composed  of  three  members,  to  be 
designated  and  known  as  the  Virginia  tax  commission. 

Appointment  of  Members ;  Term  of  Office ;  Vacancies ;  Removal 

From  Office. 

2.  The  three  members  first  to  compose  said  commission  shall  be  ap- 
pointed by  the  governor,   with  the  advice  and  consent   of  the  senate, 
if  practicable,  before  the  adjournment  of  the   present  session  of   the 
general    assembly.      Of    such   three   members,   one    shall   be    appointed 
and  designated  by  the  governor  for  a  term  ending  on  the  first  day  of 
February,  1918,  one  for  a  term  ending  on  the  first  day  of  February, 
1920,  and  one  for  a  term  ending  on  the  first  day  of  February,  1922, 
or  until  their  successors  shall  be  appointed  and  shall  qualify. 

Upon  the  expiration  of  the  terms,  respectively,  of  the  three  com- 
missioners first  appointed  and  designated  as  aforesaid,  each  succeed- 
ing commissioner  shall  be  appointed  by  the  governor,  with  the  advice 
and  consent  of  the  senate,  at  a  regular  session  of  the  general  assembly, 
and  the  term  of  office  of  such  succeeding  commissioner  shall  be  for  six 
years,  or  until  his  successor  shall  have  been  appointed  and  shall  qualify. 

Should  a  vacancy  occur  when  the  general  assembly  is  not  in  session, 
it  shall  be  filled  by  the  governor's  appointment  for  the  unexpired  term, 
subject  to  confirmation  by  the  senate  at  the  next  session  of  the  general 
assembly. 

And  said  commissioners,  or  any  of  them,  may  be  removed  by  the 
governor  for  cause  shown,  with  the  advice  and  consent  of  the  senate: 
and  if  cause  for  such  removal  shall  arise  when  the  senate  is  not  in 
session,  the  governor  may  suspend  one  or  more  of  said  commissioners. 
and  fill  the  vacancies  thus  created  until  the  general  assembly  shall  next 
convene. 

Qualifications  of  Members;  Oath. 

3.  Each  member  of  the  commission  shall,  during  his  term,  devote  his 
entire  time  to  the  duties  of  his  office;  he  shall  hold  no  other  office 
under  the  laws  of  the  United  States  nor  of  Virginia,  nor  of  any  other 
State ;  he  shall  serve  neither  on  nor  under  any  commitee  of  any  political 
party;  he  shall  make  no  contribution  to  anv  political  cause  within  this 
State;  and  he  shall  in  no  way  use  his  office  to  promote  the  political 
aspirations  of  himself  nor  of  any  other  person. 


Chapter  IX— State  Tax  Commission.  229 

And  each  commissioner  before  entering  upon  office  shall  take,  sub- 
scribe and  file  with  the  secretary  of  the  Commonwealth  the  oath  pre- 
scribed by  law  for  State  officers. 

Salaries;  Place  of  Meeting;  Organization. 

4.  The  salary  of  each  member  of  the  commission  shall  be  four  thou- 
sand dollars  per  annum. 

The  commissioners  first  appointed  shall  meet  without  delay  at  the 
capitol  in  Richmond,  and  shall  organize  by  electing  one  of  their  number 
as  chairman  and  another  as  secretary. 

Two  members  shall  constitute  a  quorum  of  the  commission  for 
the  transaction  of  all  business. 

The  commission  shall  have  the  power  to  employ  and  remove  such 
clerks  and  other  assistants  as  may  from  time  to  time  be  necessary,  to 
prescribe  their  duties  and  to  fix  their  compensation;  provided,  that  the 
total  expenditures  of  the  said  commission  shall  not  exceed  the  amount 
appropriated  by  law. 

Office;  Sessions;  Travelling  Expenses. 

5.  The  office  of  the  commission  shall  be  in  Richmond,  where  suitable 
rooms  shall  be   provided   for   it   by   the  governor  and  the   register  of 
the  land   office.     But  the  commission  may   hold   sessions,   and  one   or 
more  members  may  conduct  investigations  and  hearings  at  any  other 
place   when   necessary   to   the   proper   performance   of   the   duties   pre- 
scribed by  law;   and   members   of  the   commission   and   its   employees 
shall  receive  from  the  State  the  amount  of  their  actual  necessary  ex- 
penses while  absent  from  Richmond  on  the  business  of  the  commission, 
such  expenses  to  be  sworn  to  by  the  person  incurring  them  and  approved 
by  the  chairman  of  the  commission. 

Powers  and  Duties. 

6.  It  shall  be  the  duty  of  the  Virginia  tax  commission,  and  it  shall 
have  the  power  and  authority— 

(1)  To   supervise   the   administration   of   the   assessment   and   tax 
laws   of  this   State  with  a   view  to   ascertaining  the  best  methods   of 
reaching  all  property,  of  effecting  equitable  assessments,  and  of  avoid- 
ing conflicts  and  duplication  of  taxation  of  the  same  property;  and  to 
recommend  to  the  governor  and  the   general   assembly  such  measures 
as  will  promote  uniform  assessments,  just  rates,  and  harmony  and  co- 
operation among  all  officials  connected  with  the  revenue  system  of  the 
State. 

(2)  To  exercise  general  supervision  over  the  assessors  of  real  estate 
and    over    commissioners    of    the    revenue,    and    over    all    other  public 
officers  so  far  as  the  duties  of  such  officers  pertain  to  the  public  rev- 
enues, and  it  shall  be  the  duty  of  said  tax  commission  to  confer  with, 


230  Report  of  Committee  on  Tax  Revision. 

instruct  and  advise  all  such  public  officers  in  the  performance  of  their 
duties,  and  to  investigate  at  any  time  the  assessment  and  collection  of 
taxes  in  any  county  or  city,  and  when  the  assessment  is  found  unreason- 
able and  unjust,  to  take  steps  to  correct  the  same  in  the  manner  provided 
by  law;  and  to  remove,  for  cause  shown  in  writing,  assessors  of  real 
estate  for  incompetency,  neglect  or  other  official  misconduct,  and  to 
institute  proceedings  by  motion  in  writing  in  the  proper  court,  or  before 
the  judge  of  such  court  in  vacation,  for  the  removal  or  suspension  for 
like  cause  of  commissioners  of  the  revenue,  all  to  the  end  that  the  as- 
sessment of  property  of  every  kind,  class  and  character  shall  be  just  and 
uniform,  and  that  all  taxable  property  shall  be  put  upon  the  assessment 
rolls,  and  that  equality  of  taxation  among  persons,  corporations  and 
localities  shall  be  secured  according  to  the  intent  of  the  law. 

(3)  To  prescribe  the  forms  of  books  and  schedules  to  be  used  in  the 
assessment  and  collection  of  taxes,  and  to  call  for  and  prescribe  the  forms 
of  such  statistical  reports,  notices  and  other  papers  as  said  tax  com- 
mission may  deem  necessary  to  the  proper  administration  of  the  law, 
and  to  prescribe  and  install  a  uniform  system  of  accounts  to  be  used 
by  revenue  officials. 

(4)  To   collect,   digest   and   preserve   information   relating   to   the 
value  and  ownership  of  real  and  personal  property  with  a  view  to  in- 
structing,   aiding    and    checking   assessors    and    commissioners    of    the 
revenue. 

(5)  To  furnish  to  assessors  and  commissioners  of  the  revenue  such 
classification  of  property,  both  real  and  personal,  for  the  purposes  of 
uniform  valuation,  as  will  promote  fairness  of  assessment. 

(6)  To  investigate  and  supervise  the  enforcement  of  the  laws  with 
regard  to  rates,  fees  and  charges  for  mercantile,  professional  and  all 
other  licenses,  to  the  end  that  the  burden  of  taxation  may  be  fairly 
equalized  among  all  classes  of  residents  within  the  Commonwealth. 

(7)  To  make  all  assessments  for  such  taxes   as  are  now  or  may 
hereafter  be  made  payable  directly  to  the  Commonwealth,  and  all  reports 
on  which  any  such  tax  is  based  shall  be  made  to  the  said  Virginia 
tax  commission;   and  the  amount   of  such   taxes  shall   be  certified  to 
the  auditor  of  public  accounts  by  the  tax  commission  for  collection. 

(8)  To   direct   such   proceedings,   actions   and   prosecutions   to    be 
instituted  as  may  be  needful  to  enforce  the  revenue  laws  of  the  State, 
and  to  call  on  the  attorney  general,  or  other  proper  officer,  to  prosecute 
such  actions  and  proceedings. 

(9)  To  intervene,  by  petition  or  otherwise,  whenever  deemed  ad- 
visable in  any  action  or  proceeding  pending  in  any  court  wherein  the 
constitutionality  or  construction  of  any  tax  or  revenue  statute  or  the 
validity  of  any  tax  is  in  question;  and  the  court  wherein  such  action 
or  proceeding  is  pending  may,  by  order  entered  therein,  make  the  said 
Virginia  tax  commission  a  party  thereto  whenever  deemed  necessary. 

(10)  To  make  a  report  of  its  proceedings  and  recommendations  to 
the  Governor  on  or  before  the  first  day  of  November  preceding  a  regu- 
lar  session   of   the   general   assembly;    and   the   governor   shall   cause 


Chapter  IX — State  Tax  Commission.  231 

copies  of  said  report  to  be  printed,  one  of  which  copies  he  shall  cause 
to  be  sent  to  each  member  of  the  general  assembly  at  least  twenty 
days  before  the  beginning  of  a  regular  session. 

Processes. 

7.  The  Virginia  tax  commission  shall,  in   all  matters  within  its 
jurisdiction,  have  the  power  and  authority  to  award  and  issue,  have 
served  and  executed  and  returned,  any  writ,  notice,  process,  order  or 
order  of   publication  which   may   by   law   be   awarded,   issued,   served, 
executed  or  returned  by  or  to  any  court  of  law  or  equity  in  this  Com- 
monwealth for  the  purpose  of  compelling  the  attendance  of  witnesses, 
the  production  of  books  and  papers,  and  the  enforcement  and  execution 
of  its  findings,  orders  and  judgments. 

All  writs,  processes  and  orders  of  the  commission  shall  run  in  the 
name  of  the  commonwealth,  shall  be  signed  by  the  chairman  of  the 
commission  and  be  attested  by  its  secretary,  or  any  clerk  designated 
by  the  commission  for  that  purpose,  and  shall  be  directed  to  any  ser- 
geant, sheriff  or  constable  of  any  county  or  city  wherein  such  writ, 
process  or  order  is  to  be  executed.  All  writs,  notices,  processes  or 
orders  of  the  commission  may  be  executed  and  returned  in  like  manner 
and  upon  like  persons  or  property  as  the  processes,  writs,  notices  or 
orders  of  the  courts  of  record  of  this  Commonwealth,  and  so  served, 
executed  and  returned  shall  have  the  same  legal  effect.  The  officer 
serving  or  executing  any  writ,  notice,  process  or  order  of  the  com- 
mission shall  receive  the  same  fees  allowed  by  law  for  like  services  to 
sergeants  and  sheriffs  of  the  counties  and  cities.  Any  officer  who  shall 
fail  to  execute  and  return  any  writ,  process,  notice  or  order  of  the 
commission  shall  be  subject  to  the  same  penalties  provided  by  law 
for  the  failure  to  execute  and  return  the  process  of  any  court,  which 
penalties,  after  due  notice  to  the  officer  so  failing,  may  be  enforced 
by  the  judgment  of  the  commission,  which  is  hereby  clothed  with  power 
to  carry  this  provision  into  effect. 

The  commission  shall  make  such  allowances  for  fees  and  mileage 
of  witnesses  summoned  before  it  as  are  allowed  by  law  for  witnesses 
summoned  by  the  Commonwealth  in  felony  cases,  to  be  paid  out  of  the 
fund  at  the  disposal  of  the  commission. 

Information  to  be  Confidential. 

8.  It  shall  be  unlawful  for  any  member  or  ex-member  of  the  Virginia 
tax  commission,   or  for  any  assessor  or  commissioner  of  the  revenue, 
or  for  any  employee  or  agent  of  the  tax  commission,  to  divulge  any 
information  acquired  by  him  in  respect  to  the  transactions,  property, 
income  or  business  of  any  person,   firm   or  corporation  when  in   the 
performance  of  his  duties  under  this  act.     Any  violation  of  the  pro- 
visions of  this  section  shall  be  punished  by  a  fine  not  exceeding  five 
hundred  dollars  or  by  imprisonment  not  exceeding  six  months,  or  by 


232  Report  of  Committee  on  Tax  Revision. 

both,  at  the  discretion  of  the  court;  provided,  however,  that  the  gov- 
ernor may  at  any  time  by  written  order  direct  that  any  information 
herein  referred  to  shall  be  made  public  or  be  laid  before  any  court; 
and  provided,  further,  that  this  information  does  not  extend  to  any 
matters  required  by  law  to  be  entered  on  any  assessment  roll  or  book. 

Supplies,  Printing,  Expenses,  Etc. 

9.  That  the  commission  shall  have  the  authority  to  purchase  all  neces- 
sary furniture  and  supplies,  and  have  all  necessary  printing  and  pub- 
lishing done,  and  secure  all  telephone  and  telegraph  service  necessary 
to  the  efficient  discharge  of  its  duties,  and  the  same  shall  be  paid»out 
of  the  fund  hereinafter  appropriated;  provided,  however,  that  all  print- 
ing necessary  for  the  commission  shall  be  done  by  the  public  printer, 
on  its  order,  to  be  paid  out  of  the  general  printing  fund. 

Appropriation. 

10.  That  the  sum  of  twenty-five  thousand  dollars  ($25,000)  annually, 
or  so  much  thereof  as  may  be  necessary,  be,  and  the  same  is  Lereb\r, 
appropriated  to  be  paid  out  of  any  funds  in  the  treasury  not  other- 
wise appropriated,  to  carry  out  the  purposes  of  this  act,  to  be  paid  by 
the  auditor  of  publice  accounts  upon  the  warrants  of  the  chairman  of 
said  tax  commission,  countersigned  by  its  secretary. 

Repeal  of  Other  Acts. 

11.  That  all  acts  and  parts  of  acts  inconsistent  with  this  act  be,  and 
the  same   are  hereby,  repealed,   but  said   repeal   shall  not   revive   any 
laws  heretofore  repealed,  nor  affect  any  suits  or  proceedings  that  have 
been  instituted  under  any  of  said  acts, 


APPENDIX 


TABLE  I.— LOTS  AND  IMPROVEMENTS. 

COMPUTED  TRUE  VALUE  IN  COUNTIES,  BASED  ON  SELLING  VALUE. 


I 

s 

"<  CO 

11  = 

<M* 

m 

s 

*a   § 

£  ° 

0 

ff. 

s 

§  w 

COUNTIES 

J- 

1 

OJ    2 

"3 

S  > 

^-o  « 
'2«'C. 

"g    * 

§                    °  a 

s.§ 

*    ^ 

S 

'•*->  "qj 

8            S" 

o  § 

P* 

$         53,923 

$        155,166 

34.80 

$        799,180 

$      2,294,000 

39,308 

127,339 

30.85 

51,235 

166,500 

206,260 

651,453 

31.70 

193,415 

610,000 

9,010 

23,559 

38.30 

1,470,220 

3,844,000 

1  480 

4  428 

31  10 

12,611 

26,299 

47.90 

361,902 

755,100 

Appomattox    

Augusta 

2,980 
47,663 

5,400 
114,408 

55.20 
41.60 

161,574 
1,003,730 

292,500 
2,414,000 

Bath 

5,656 

17,910 

31  55 

Bedford 

39  299 

81  381 

48  25 

877  602 

1,818,000 

Bland 

1  087 

7  626 

14  25 

15  800 

110  900 

Botetourt    -  

27,212 

62,138 

43  80 

255  200 

582  000 

Brunswick 

36  987 

65  460 

65  80 

483  453 

725  COO 

Buchanan 

3  910 

11  488 

34  10 

17  785 

59  200 

Buckingham 

2  200 

3  500 

fi9  80 

Campbell   

94  760 

204  r03 

46  20 

321  314 

694  000 

Caroline  

7  975 

16  776 

47  50 

1fi7  00*1 

351  500 

Carroll    

3  125 

16  888 

18  50 

cfi   QQS 

324  C00 

Charlotte    

6,756 

10  701 

63  20 

Chesterfield 

103  582 

270  272 

38  30 

1  762  780 

4  F90  000 

Clarke  _    _ 

36  460 

108  169 

33  70 

303  720 

900  000 

Craig 

3  662 

17  727 

20  70 

49  060 

237  500 

Culpeper    _ 

21  676 

58  355 

37  20 

572  563 

1  540  000 

Cumberland 

1  101 

1  435 

76  80 

21  021 

27.3FO 

Dickenson 

2  990 

10  000 

29  90 

35  280 

118  000 

Dinwiddie 

4  665 

8  815 

53  00 

81  978 

154  800 

Elixabeth   City 

76  677 

170  237 

45  10 

3  710  247 

8  230  000 

Essex 

2  340 

5  885 

39  70 

84  920 

214  2CO 

Fairfax 

106  119 

251  895 

42  20 

*  140  679 

2  705,000 

Fauquier 

23  333 

52  565 

44  40 

888  434 

2  000  000 

Floyd 

3  417 

18  378 

18  59 

45  899 

2  '6  800 

Fluvanna 

1  000 

2  800 

35  70 

26  210 

73  400 

Franklin     _. 

3  318 

11  994 

27  65 

151  514 

548,000 

Frederick 

5  097 

18  915 

26  92 

124  476 

461,  OCO 

Giles   - 

6  455 

21  600 

29  90 

168  225 

462,400 

Gloucester 

1  640 

7*723 

21  25 

Graysqn   

Greene   

11,462 

38,784 

29.53 
40  80 

235,354 
27  525 

797,000 
67  350 

Greensville 

15  993 

47  815 

33  42 

574  150 

1  719  000 

Halifax 

38  291 

74  765 

51  20 

1  425  175 

f>  785  000 

Hanover 

15  390 

36*125 

42  70 

387  100 

907,500 

Henrico 

205  125 

651*301 

31  50 

5  652  440 

17  940  000 

Henry 

15  527 

36  046 

43  10 

807  726 

1  877  000 

Highland            

3  113 

10  '  829 

28  72 

60  900 

212  000 

Isle  of  Wight 

8  325 

22  Oil 

37  80 

586  555 

1  550  000 

James  City  -    - 

1  356 

2  770 

48  90 

King  George  

550 

1  200 

45  80 

2  035 

5  125 

King  and  Queen 

452 

895 

50  40 

Kinf   William        

1  505 

2  995 

50  25 

237  666 

473  000 

Lancaster 

2  384 

7  289 

32  70 

Lee    - 

13,403 

45  018 

29  75 

130  813 

439  000 

Loudoun 

33  599 

71  040 

47  30 

1  062  313 

o  244  OnO 

Louisa 

7  410 

14  560 

50  80 

115  200 

22(5  8r() 

Lunenburg    

16,521 

51  758 

31  90 

210  600 

65l)  000 

Madison 

1  510 

4  843 

31  20 

43  Tig 

140  200 

Mathews 

1  018 

3  265 

31*10 

Mecklenburg  

19,337 

57  948 

33  30 

805  422 

2  415  000 

Middlesex    . 

5.748 

12.601 

45.70 

131.035 

287.200 

Report  of  Committee  on  Tax  Revision. 


TABLE  I— LOTS  AND  IMPROVEMENTS— CONTINUED. 


COUNTIES 

Assessed  value  of  pro- 
perty sold 

Consideration  paid 

3 

11 

> 
3* 

$ 

Total  assessment,  lots 
and  improvements 

_t-* 

a£a, 
"l°» 

I     III 

si*:g 

c.      SOg 

g  03  a     — 

j*  •4~»  a?  ^  -~H 

s  2  E  s  e. 

b4 

Montgomery          -.  . 

$        30,317 

$       104,122 

29.15 

$        529,127 

$      1,816,000 

46  265 

103,893 

44.60 

1,561 

5,686 

27.42 

6?,  846 

239,200 

New   Kent 

4,783 

12,250 

39.10 

13,000 

33,300 

Norfolk 

54,561 

129,400 

42.20 

7,524,160 

17  850  (>OD 

Northampton    -       ____. 

26,100 

83,488 

31.30 

563,500 

1,800  000 

10,675 

30,676 

34.80 

Nottoway                       «  

2*.  444 

55,615 

51.20 

1,106,972 

2  165,000 

Orange 

8.99:5 

20,490 

43.80 

381,305 

875,  COO 

Page  -                             --  - 

17,540 

60,155 

29.20 

220,510 

755,000 

Patrick 

?,228 

8,575 

37.70 

68,093 

180,400 

Pittsylvania  

_£,451 
1  400 

80,932 
2,000 

35.10 
74  50 

372,070 
10  375 

1,060,000 
13  J20 

Prince  Edward  --  

37,740 

59,910 

63.00 

1,196,040 

1,900,000 

Prince  George  --    

5,512 

6,658 

82.70 

27,095 

32,750 

Princess  Anne 

71,340 

152,180 

46.90 

824,267 

1,758  030 

Prince  William   

11,062 

32,721 

33.80 

645,639 

1,910,000 

Pulaski   

28,435 

97,761 

29.10 

1,058,380 

3,6  '0  003 

Rappahannock    

2,930 
525 

13,030 
1  538 

22.50 
34.10 

73,490 

326,800 

Roanoke     -      

164,908 

529,086 

31.10 

1,490,834 

4,780,000 

Rockbridpe 

28,332 

73,528 

38.50 

1,128,287 

2  930,  «K) 

Rockingham    _  -_ 

139,720 

340,910 

41.00 

2,842,385 

6,910,00.1 

Rti^ell 

10  765 

57  326 

18  75 

64  08  1 

341  300 

Sro*f 

12,162 

37,891 

32.10 

141,970 

4  2,100 

Shcnandoan    _,  

21,259 

60,559 

35.10 

828,995 

2,  650,  TOO 

Smyth 

?1  385 

67  788 

31.50 

454,099 

1,4  '0,000 

Southampton    - 

36,693 

78,933 

46.50 

759,234 

1,631,000 

Spotsylvania    „ 

360 

1.235 

29.10 

38,688 

132,900 

Stafford 

659 

2  330 

?8.30 

28,715 

101  ,'00 

Surry   

10,040 

17,211 

58.30 

367,118 

628  000 

Sussex 

15  437 

16  078 

95  80 

411  186 

427  rOO 

Tazewell   _  _    _    _    _.  

45,132 

156,848 

28  70 

1,171  062 

4,075  000 

Warren 

26  245 

80  422 

32  60 

214  610 

780  000 

Warwick 

9,660 

16  250 

59  40 

542*485 

913  OCO 

Washington 

36  219 

113  238 

31  90 

537  709 

1  689  0^0 

Westmoreland 

5  330 

8  585 

62  10 

3155  375 

572  500 

Wise  

48,870 

156,625 

31  20 

797  275 

2  5r2  000 

Wythe  _ 

42  070 

133  777 

81  40 

656  200 

2  090  OD 

York 

595 

1  930 

30  80 

29  675 

96  250 

Totals 

$    2  519  546 

$    6  848  676 

38  55 

$  55  508  132 

$  143  896  395 

CITIES 
Alexandria    

Bristol 

$         33,775 
57  250 

$          65,195 
121  478 

51.80 
47  20 

$    5,485,845 
2  370  820 

$    10,600,000 
5  025  000 

Buena  Vista  
Oharlottesville    

Clifton  Forge 

21,255 
132,700 
21  105 

35,476 
270,328 
45  325 

59.90 
49.20 
46  60 

678,243 
3,026,200 
1  563  425 

1,132,000 

6,ro,oao 

3  3-4  OQO 

Danville    '.  

Fredericksburg   

254,650 
22,350 

398,877 
29  220 

63.80 
76  50 

8,916,424 
2  405  907 

13,980,000 
3  140,000 

Lynchburg 

354  065 

629  732 

56  20 

17  712  272 

31  500  000 

Newport   News       - 

121,951 

173  911 

70  20 

9  432  370 

13  470  000 

Norfolk    __ 

1,177,200 

2,298,444 

51  25 

49  339  660 

96,250,000 

Petersburg 

213  470 

402  876 

62  90 

10  865  770 

17  260  000 

Portsmouth   

Radford 

346,750 
28  310 

744,387 
47  488 

46.70 
59  70 

9,518,783 
1  274  030 

20,450,000 
2  137  000 

Richmond    
Roanoke  

2,426,459 
992,810 

4,427,384 
2  032,820 

54.80 
48  80 

96,212,226 
15  468  715 

175,600,000 
81  700  000 

Staunton   - 

89  400 

189  541 

47  20 

4  036  095 

8  540  000 

Suffolk 

63  895 

134  785 

47  40 

2  172  7-10 

4  566  000 

Williamsburg    > 

7  150 

10  235 

69  90 

576  980 

ooc  nrv) 

Winchester    .  

70  885 

157  954 

44  90 

2  465  425 

5  485  000 

Totals 

$    6  475  430 

$  12  215  456 

54  20 

(toiq   eo-i    nor. 

Total  counties  and  cities  

$    8,994,976 

$  19,064,132 

50.25 

$298,950,062 

$  r95,060,395 

Appendix. 


TABLE  II.— LANDS  AND  IMPROVEMENTS. 

COMPUTED  TRUE  VALUE  IN  COUNTIES,  BASED  ON  SELLING  VALUE. 


COUNTLES 

6 

•a 

a 

•32 

^2 

1$ 

ii 

<j 

Consideration  paid  for 
property  gold 

Ratio  of  assessment 
to  consideration 

Total  assessment  of 
lands  and  improve- 
ments 

Estimated  true  value 
of  lands  and  im- 
provements based  on 
ratio  of  assessments 
to  selling  value 

$        125,633 

$        462,848 

27.15 

$    4,502,180 

$    16,570,000 

137,964 

460,709 

30.00 

5,697,759 

19,000,000 

Alexandria           --  

10,755 

40,440 

24.30 

4,431,850 

18,260,000 

Alleghany 

7,217 

22,475 

32.10 

2,736,022 

8,520,OrO 

*  Amelia 

45,120 

136,100 

33.20 

1,187,410 

3,580,OCO 

Amherst 

53,585 

167,196 

32.10 

2,164,610 

6,760,000 

24,977 

72,930 

33.75 

1,036,689 

3,070,000 

217,762 

707,630 

30.75 

9,863,066 

32,000.000 

Bath 

27,402 

75,185 

35.50 

2,178,725 

6,140,000 

Bedford 

134,251 

442,642 

30.35 

3,552,256 

11,720,000 

Bland 

12,831 

59,650 

21.55 

726,  "J24 

3,370,000 

67,592 

197,761 

34.20 

2,972,239 

8,700,000 

109,798 

188,062 

58.30 

3,467,795 

5,940,000 

Buchanan 

34,122 

100,707 

33.90 

4,125,796 

12,160,000 

Buckingham 

29,445 

62,103 

47.40 

1,790,970 

3,775,000 

Campbell 

92,762 

649,435 

14.28 

4,030,339 

28,250,000 

Caroline 

39,819 

77,207 

51.60 

2,051,052 

3,970,000 

Carroll                      -      _  __  __ 

14,654 

125,135 

11.72 

852,838 

7,280,000 

Charles   City 

20,359 

64,514 

31.50 

804,730 

2,554,000 

*Charlotte    _      

68,574 

139,901 

49.10 

2,678,061 

5,465,000 

Chesterfield 

102,963 

299,938 

34.35 

4,491,420 

13,090,000 

Clarke                  -    -         

81,491 

146,358 

21.50 

2,272,381 

10,560,000 

Craig    

6,248 

42,284 

14.75 

1,024,473 

6,940,000 

Culpeper     

132,785 

362,207 

36.70 

2,429,280 

6,630  001 

Cumberland 

40  755 

85,420 

48  30 

1,130,526 

2,342,000 

Dickenson    -    --  

7,747 

38,086 

20.30 

3,268,206 

16,070,OrO 

Dinwfddie  -    _ 

50,809 

123,887 

46.80 

2,021,996 

4,730,000 

Elizabeth  City  . 

10,962 

39,430 

27.80 

677,215 

2,435,000 

Essex   _  _. 

15,710 

47,621 

33.00 

1,192,887 

3,610,000 

Fairfax 

215,389 

597,734 

36.00 

4,566,254 

12,650,000 

FauQuier 

165  512 

425,014 

38  90 

6,762,401 

17,350,000 

Floyd 

26  479 

143,188 

18.50 

896,574 

4,8!0,010 

Flu  v  anna  -  - 

12  627 

69,091 

18.25 

756,045 

4,138.000 

Franklin 

26  291 

97  479 

27  00 

1  662  878 

6  150,000 

Frederick       _    _- 

54,512 

209,773 

26  00 

3,235,100 

12,430,000 

Giles    

20,339 

84,854 

24.00 

1,083,138 

4,520,000 

*Gloucester 

36  200 

104  200 

33  80 

1  500  680 

4,440,000 

Goochland 

119  494 

266  612 

44  80 

1  331  162 

2,970,000 

Grayson 

12  510 

86  843 

14  40 

927  745 

6,  440,  TOO 

Greene 

13  651 

33  411 

40  80 

675,835 

1,654,000 

Green  sville 

26  910 

71  825 

37  40 

1,138,620 

3,  040,  COO 

Halifax  . 

136  232 

374,452 

36  40 

3,690,401 

9,870,000 

Hanover  

106  160 

204,984 

51  75 

2,958,340 

5,720,000 

Henrico   

54,280 

274,084 

19.80 

8,301,810 

41,900,000 

Henry 

19  361 

62  344 

31  10 

1  237  630 

3  980  000 

Highland   

33  456 

73  100 

44  70 

2  447  201 

5  470  000 

Isle  of  Wight 

71  850 

160  733 

44  70 

?  326  360 

5,200,000 

*James  City  

25,643 

55  399 

46  40 

852  ,  444 

1,834  000 

King  George  

2,473 

6,975 

35.40 

631,663 

1,783,000 

*King  and  Queen 

15  810 

42  355 

37  00 

956  099 

2  585  COO 

King  William 

25  516 

68  547 

37  20 

914*  105 

2  454  COO 

Lancaster 

17  754 

37  752 

44  70 

1  134  084 

2  539  000 

Lee     -         

25,424 

97  107 

26  20 

2  244  543 

8  560  000 

Loudoun 

226  776 

550  160 

41  20 

7  416  097 

18  000  000 

Louisa 

43  87] 

123  798 

35  50 

2  157  246 

6  075  000 

Lunenburg 

41  5"P 

145  184 

28  60 

1  099  537 

3  840  000 

Madison    _ 

25  45f 

82  296 

30  90 

1  774  149 

5  740  000 

*Mathews  

20,641 

69  831 

29  70 

927  152 

3  12S  000 

Mecklenburg 

76  20' 

246  014 

30  90 

2  237  754 

7  2'?5  000 

Middlesex  __  

14  08' 

36  958 

38  10 

1  024  880 

2  690  000 

Montgomery    

37,27: 

190  313 

19  55 

1  917  44" 

9  800  000 

*Nansemond   -. 

68.811 

186.305 

39.50 

2  563.614 

fi.ROO  oao 

236 


Report  of  Committee  on  Tax  Revision. 


TABLE   II— LANDS   AND    IMPROVEMENTS— CONTINUED. 


COUNTIES 

| 
"o 

Is 

^2 

w  >> 

ji 

Consideration  paid  for 
property  gold 

Ratio  of  assessment 
to  consideration 

Total  assessment  of 
lands  and  improve- 
ments 

Estimated  true  value 
of  lands  and  im- 
provements based  on 
ratio  of  assessments 
to  selling  value 

Nelson 

$         21,647 

$         82,191 

26.35 

$    2,190,499 

$     8,  310,  OOo 

New  Kent 

10,142 

31,222 

32.50 

623,524 

1,940  000 

Norfolk 

4,425 

10,000 

44.25 

8,996,593 

20,320,000 

Northampton    

45,698 

220,013 

20.75 

2,029,759 

9,775,000 

*Northumberland 

23  326 

66,759 

34  90 

1,663,397 

4  760  000 

Nottoway 

53  467 

132,572 

40.30 

1,312,792 

3,259  000 

Orange 

53  677 

130,648 

41.00 

2,407,404 

5  865,000 

Page  

24,985 

95,426 

26.20 

1,832,515 

7,000,000 

Patrick   _    — 

21,524 

75,969 

28.30 

1,035,563 

3,660  000 

Pittsylvania  --  --  _ 

146,177 

456,324 

32.10 

6,453,551 

20,120,000 

Powhatan   -_  

28,034 

79,580 

35.20 

1,082,168 

3,073,000 

Prince  Edward  

42,719 

120,406 

35.50 

1,387,135 

3,910,000 

Prince  George    ' 

41  919 

104,411 

40.20 

1,871,398 

4,660,000 

Princess  Anne  -  - 

128,145 

553,297 

23.20 

2,703,087 

11,  660,  COO 

Prince  William 

61  861 

168,416 

36  80 

2,250,370 

6,120,000 

Pulaski    _    _    __ 

40,818 

195,591 

20.88 

1,968,518 

9,430,000 

Rappahannock   —  __ 

9,194 

22,685 

40.60 

1,451,163 

3,580,000 

'Richmond 

11  144 

21  665 

50  30 

781,386 

1  554  000 

Roanoke 

158  618 

543  961 

29  20 

4,155  082 

14,250  000 

Rockbridge   _    _.  

40,954 

117  321 

42  20 

3  273,798 

7  750,000 

Rockingham 

296  440 

755  006 

39  30 

9  187,940 

23,400,000 

Russell 

34  252 

204  420 

16  75 

2  gig  546 

15  620  000 

Scott 

20  629 

88  475 

23  30 

1  566  081 

6  720  000 

Shenandoah   

46,499 

159,266 

29.20 

3  [569,'  605 

12,220,QOO 

Smyth 

32  482 

153  190 

21  20 

2  640  114 

12  450  000 

Southampton    _ 

125  997 

300,360 

41  80 

3  107  873 

7  420,000 

Spotsylvania   

25,897 

61  628 

42  10 

1  418  404 

3  370,000 

Stafford   

12,716 

50  703 

25  10 

898  093 

3  590  000 

Surry 

64  196 

112  678  } 

57  00 

1  414  452 

2  480  000 

Sussex 

65  769 

128  267 

51  30 

2  126  938 

4  135  000 

Tazewell 

39  421 

242  543 

16  25 

3  '717'  506 

22  850  000 

Warren    

19  480 

61  266 

31  80 

1  225  635 

3  855  000 

Warwick  

8,126 

15  295 

53  10 

1*098  532 

2  068  000 

Washington 

55  437 

199  915 

27  70 

3  204  848 

11  580  000 

Wp.ptTTinreiand 

11  476 

24  913 

46  10 

1  056  030 

2  299  000 

Wise  

14  957 

58  856 

25  50 

6  752  °95 

26  540  000 

Wythe   

60,700 

210  'oi8 

28  90 

2*769*230 

9  "80  000 

York 

14  775 

46  182 

32  00 

842  727 

2  630  000 

Totals 

$    5  409  869 

$  16  818  054 

30  25 

$251  391  032 

$  832  802  000 

*Ratio  is  given  for  all  sales.    Auditor  reports  no  assessments  of  lots,  although  some  saleg 
wera  tabulated  as  such. 


Appendix. 


237 


TABLE  III.— ALL  EEAL  ESTATE. 

ESTIMATED  TRUE  VALUE. 


COUNTIES 

Assessed 
Value. 

Etet'd  True 
Value  Based 
on  Sales. 

COUNTIES 

Assessed 
Value. 

Est'd  True 
•  Value  Based 
on  Sales. 

Accomac    

$    5,301,360 
5,748,994 
4,625,265 
4,206,242 
1,187,410 
2,526,512 
1,198,263 
10,866,796 
2,178,725 
4,429,858 
742,524 
3,227,439 
3,951,248 
4,148,581 
1,820,022 
4,351,653 
2,218,147 
909,836 
804,730 
2,678,061 
6,254,200 
2,576,101 
1,073,533 
3,001,843 
1,151,551 
3,303,486 
2,103,974 
4,387,462 
1,277,807 
5,706,933 
7,650,835 
912,466 
782,255 
1,814,392 
3,359,576 

!  $    18,864,000 
19,166,rOO 
18,870,000 
12,364,000 
3,580,000 
7,515,100 
3,362,500 
34,414,000 
6,140,000 
13,538,000 
3,480,900 
9,282,000 
6,665,000 
12,212,200 
3,821,250 
28,944,000 
4,321,500 
7,604,500 
2,554,000 
5,465,000 
17,680,000 
11,460,0-0 
7,177,500 
8,170,000 
2,360,350 
16,188,000 
4,884,800 
10,661,000 
3,824,200 
15,355,000 
19,350.00,0 
5,086,800 
4,211,400 
6,698,000 
12  891,000 
4,982,^00 
4,440,000 
2,970,000 
7,237,000   : 
1,721,3:10 
4,759.000   i 
12,  65',  000 
6,627,-rOO 
59.840.000 
'^."7  000 
5,682,0A0 
6,750,000 
1,831,000 
1,788,125 
2,585,000   i 
2,927,000 
2,539.000 
8,999,000 
20,244,000 
6,301.800 
4^99  oon 

5,880,200 
3,128,000 
9,640,000 
.   2,977.200 
11,616.0-0    i 
6,500.000 
8,5^9.200 
1,973,309 

Norfolk 

$  16,520,753 
2,593,259 
1,663,397 
2,419,764 
2,791,709 
2,053,025 
1,103,656 
6,825,621 
1,092,543 
2,583,175 
1,898,493 
3,527,354 
2,896,009 
3,026,898 
1,524,653 
781,386 
5,645,916 
4,402,085 
12,030,325 
2,680,630 
1,708,051 
4,398,600 
3,094,218 
3,867,107 
1,457,092 
926,808 
1,781,570 
2,538,124 
4,888,568 
1,480,245 
1,641,017 
2,742,557 
1,411,405 
7,549,570 
3,425,430 
872,402 

$    38,  170,00,0 
11,575,000 
4,760,000 
5,424,000 
6,740,000 
7,755,000 
3,840,400 
21,180,000 
3,086,920 
5,810,000 
4,692,750 
13,418,000 
8,030,000 
13,  070,  COO 
3,906.800 
1,554,000 
19,030,000 

io,68o,or,o 

30,340.000 
15,961,300 
7,162,100 
14,870,010 
13,890,000 
9,054,000 
3,502,901) 
3,691,400 
3,108,000 
4,562,500 
26,925,000 
4,635,000 
2,981,000 
13,262,000 
2,864,500 
29,092,000 
11,670,000 
2,726,250 

Albemarle    __  - 

Alexandria      - 

Northumberland    

Allephany    

Amelia    _    _ 

Amherst   

Page 

Appomattox    

Patrick 

Augusta   -  

Pittsylvania 

Bath    

Bedford    

Bland 

Bofi-tnnrt 

Branswick     

Buchanan    

Pulaski 

Buckingham 

Campbell     _  

Caroline  

oanoKe            

Carroll       

Charles   City  

ocKpnage  

Charlotte    _ 

Chesterfield    

Clarke 

Shenandoah  

Craig  

Culpeper    _  _  

Cumberland   

Southampton    

Dickenson    

Pinwiddie    

Surry 

Elizabeth  City  

Essex         

Fairfax    

Fauquier    

Hovd 

Fluvanna    

Franklin    

Frederick   

Wythe 

Giles  

1,251,363 

1,500,680 

YnrV 

Gloucester  •  _        _ 

Totals 

Goochland    

1,331,162 
1,163,.)99 
703,360 
3,712,770 
5,115,576 
3,345,440 
13,954,250 
2,045  356 

$  306,899,164 

$    976,698,395 

Gravson    

CITIES 

Greene    

>      5,485,845 
2,370,820 
678,243 
3,026,200 
1,563.425 
8,916,424 
2,405,907 
17,712,372 
9,432,270 
49,339,660 
10,865,770 
9,518,783 
1.274,030 
96,212.226 
15,468,715  i 
4,036,095 
2,172,740 
576,980 
2,465,425 

$      10,600,000 

5,  02.-;,  ooo 

1,132,000 
6,150,000 
3,354.000 
13,980.000 
3,140.000 
31,500,0^0 
13,470.000 
96,250,000 
17,260.000 
20,450,000 
2,137,000 
175,600.000 
31,700,000 
8,540,000 
4,566,000 
825.000 
5,485,000 

Green  sville    _ 

Halifax    

Hanover    

Bristol 

Henrico    __    

Buena   Vista 

Henrv    

f^iriottesville    
Clifton    Forge 

Highland    

2,508.101 
2,912,915 
852,444 
633,698 
956,099 
1,151,771 
l,13t,084 
2,375,356 
8,478,410  i 
2.272,446 
1,310,137 
1,817,859 
927,152 
3,043,176 
J,  1*5.015 
2.446,572 
2  WS.6U 
2  2:'3  3  '5 
636.521 

Isle  of  Wight  

James    City   

Fredericksburg 

King   George  _  _  __ 

King   pnd    Queen 

King   William   _.    _ 

Norfolk 

Lancaster 

TPA 

Loudoun    i 

R^dford 

Louisa     __    _                ' 

Lunenburg- 

Mathews 

Suffolk 

MecVi^nburg    __    _ 

Middlesex      _  _ 

Totals 

y^s^mond    

Vplcon 

*  243,521,930    i 

p    451,164,000 

Totals  co's  and  cities 

X("v    Kent    

^  550  421,094    ? 

KL,  427,  862,  395 

238  Report  of  Committee  on  Tax  Revision. 

TABLE  IV. 
Tax  Levies  and  Tax  Rates. 

By  compiling  the  amount  of  taxes  on  real  estate,  it  is  possible  to  show 
the  tax  rates  on  the  average  assessed  and  on  the  estimated  true  value  of 
real  estate  in  the  various  cities  and  counties  and  for  the  State  as  a  whole. 
These  rates  are  of  service  not  merely  as  showing  the  variations  among  the 
municipal  divisions,  but  also  the  comparative  tax  burden  as  between  real 
estate  and  other  properties.  The  compilation  of  the  data  necessary  for 
these  comparisons  has  been  somewhat  difficult.  The  State  tax  levy  was 
of  course  easily  obtainable  from  the  auditor's  report.  Theoretically,  the 
tax  levy  of  counties  and  cities  should  have  been  equally  accessible ;  but,  in 
fact,  this  was  not  altogether  true.  The  primary  source  of  the  information 
was,  of  course,  the  tabular  material  in  the  Auditor's  Report  relative  to  the 
revenue  and  expense  of  the  counties  and  cities.  An  examination  of  this 
Report  revealed  the  fact,  however,  that  not  all  of  the  reports  had  been 
made  in  the  manner  contemplated  by  the  Auditor's  interrogatory,  although 
these  schedule  forms  required  a  separate  statement  of  taxes  levied  on  real 
estate,  personal  property,  railroads,  canals,  etc.  A  considerable  number 
of  counties  had  reported  these  various  levies  in  lump  sums  without  mak- 
ing the  reparations  required.  Furthermore,  several  counties  and  cities 
had  made  no  report  whatever.  In  the  cities,  it  was  further  found,  that 
the  taxes  on  public  service  corporations  were  almost  uniformly  reported 
with  the  real  estate.  Naturally  some  officials,  having  taken  the  easiest 
way  to  make  these  reports  in  the  first  instance,  were  hard  to  persuade  to 
furnish  the  needed  information  later.  However,  practically  all  of  these 
data  were  worked  out  from  correspondence  or  from  collateral  sources  of 
information,  such  as  the  Report  of  the  Corporation  Commission. 

A  further  difficult  was  encountered  in  some  instances  because  the 
rates  of  taxation  reported  could  not  be  made  to  agree  with  the  revenue 
secured.  The  most  notable  instance  of  this  condition  is  Princess  Anne 
county.  In  this  county  real  estate  levies  of  thirteen  thousand,  two  hundred 
and  ninety-one  dollars  and  twenty-seven  cents  were  reported.  The  rates 
for  county  purposes  were  stated  to  total  sixty  cents,  and  for  district  pur- 
poses twenty  cents,  a  total  of  eighty  cents.  The  assessed  value  of  Princess 
Anne  county  real  estate  was  reported  as  three  million,  five  hundred  and 
twenty-seven  thousand,  three  hundred  and  fifty-four  dollars;  and  a  tax 
of  eighty  cents  on  this  valuation  would  have  produced  a  total  levy  of 
twenty-eight  thousand,  two  hundred  and  eighteen  dollars  and  eighty-three 
cents.  The  tax  of  sixty  cents,  presumably  uniform  over  the  entire  county, 
would  have  produced  a  revenue  of  twenty-one  thousand,  one  hundred  and 
sixty-four  dollars  and  twelve  cents.  The  revenue  report,  however,  shows 
every  evidence  of  accuracy,  and  has  accordingly  been  accepted.  This  is 
the  largest  of  these  variations ;  and  as  they  do  not  all  run  in  any  one  direc- 
(ion,  the  error,  if  any  there  be,  can  hardly  be  considerable. 


Appendix.  239 


In  addition  to  taxes  levied  by  the  State,  counties  and  districts,  taxes- 
are  also  levied  by  towns.  The  district  levies  are  extended  on  the  county 
property  books  and  collected  with  the  county  taxes  so  that  they  are  fully 
accounted  for  in  the  county  reports.  This  practice  is  also  followed  in  some 
towns.  As  a  general  rule,  however,  a  copy  of  the  property  books  is  made 
up  for  the  towns  and  the  taxes  are  collected  by  town  officials.  In  conse- 
quence, no  record  is  available  in  the  counties  of  these  town  levies. 

To  meet  this  difficulty,  a  schedule  form  was  drafted  and  submitted  by 
the  committee  to  the  town  officers.  Some  difficulty  was  experienced  in 
securing  the  names  of  the  officials  from  whom  the  information  could  be 
secured.  Of  one  hundred  and  fifty-seven  towns,  reports  of  town  levies 
weje  secured  from  only  ninety-seven.  Repeated  and  urgent  requests  and 
appeals  failed  to  move  the  remaining  sixty.  However,  these  officials  were 
mainly  of  the  smaller  towns,  and  a  rough  estimate  was  made  by  which  at 
least  the  aggregate  tax  which  was  probably  levied  in  these  towns  was 
computed.  To  make  this  estimate,  the  towns  were  arranged  in  order  of 
population,  the  average  taxes  levied,  for  instance  by  towns  having  a  popu- 
lation between  one  and  two  hundred,  was  computed  for  towns  of  that  size- 
reported,  and  entered  for  towns  of  similar  size  not  reported. 

Such  an  estimate  is,  of  course,  only  an  approximation  for  any  one 
town  not  reporting.  It  is  better,  however,  than  an  entire  omission  of  the 
sixty  towns.  Inasmuch  as  the  entire  town  levies  amount  to  only  two 
hundred  and  ninety-three  thousand  dollars  out  of  eight  million,  two  hun- 
dred and  twenty-seven  thousand  dollars,  it  will  be  seen  that  any  error  in 
these  figures  arising  from  this  cause  could  hardly  materially  affect  the 
conclusions  drawn  from  these  statistics. 

The  table  of  taxes  and  tax  rates  follows : 


240 


Report  of  Committee  on  Tax  Revision. 


TABLE  IV— TAX  LEVIES  AND  TAX  RATES— CONTINUED. 


COUNTIES 

Taxes  Levied  on  Real  Eat 

1 
1 

1 
E-i 

Av.  Tax  Rates 

« 
8 

6 

By  counties,  ci- 
ties and  dis- 
tricts 

I 

ft 

On  assessed 
values 

irj«n 
|°. 

B-0« 

i!' 
«» 

Accomac   

.  $      18,554  76 

$     40,788  17 
44,693  93 
61,684  18 
36,887  61 
11,695  35 
27,541  51 
13,065  56 
92,565  54 
25,425  20 
89,083  11 
11,766  74 
34,206  56 
31,158  54 
23,199  62 
16,885  42 
41,317  83 
18,901  86 
10,617  33 
7,667  01 
22,068  87 
45,533  46 
20,985  26 
11,583  31 
24,148  99 
13,754  59 
31,665  33 
24,267  92 
29.896  95 
10,489  31 
43,712  ^2 
46,379  28 
14,427  94 
8,582  64 
28,002  66 
22.282  23 
14,054  96 
14,222  13 
11,346  36 
22,171  10 
6,561  11 
23,472  74 
46,621  45 
28,938  36 
87,502  63 
28,292  65 
15,135  41 
23,771  31 
8,561  57 
6,937  86 
8,659  35 
8,382  13 
12,745  96 
39  963  43 

$        2,881  25 

$      62,224  18 
64,819  33 
78,751  89 
59,383  52 
15,855  14 
36,566  77 
17,316  12 
135,509  40 
33,050  72 
63,548  74 
14,370  11 
46,839  88 
50,978  66 
37,694  32 
24,029  60 
58,267  32 
27,108  91 
14,177  10 
10,482  79 
32,945  88 
67,429  46 
31,668  48 
15,715  70 
38,280  44 
17,642  86 
42,967  70 
32,061  92 
49,738  57 
15,361  37 
68,123  67 
77,725  92 
17,761  46 
11,365  03 
34,931  47 
34,476  33 
20,674  51 
19,479  86 
16,024  00 
31,991  68 
9,022  86 
35,539  45 
78,055  83 
44,510  00 
153,850  21 
44,093  85 
24,076  59 
37,163  06 
11,546  92 
9,157  13 
12,033  00 
14,842  06 
16,720  78 
48,278  67 
78,561  81 
28,210  87 
19,803  08 
20,964  13 
12,164  74 
58,659  ]Q 
16,643  35 
35,375  71 
33,766  35 
23,960  65 
9,227  43 
172,052  41 
31,354  46  I 

$    117 
1  13 
1  70 
1  41 
1  34 
1  45 
1  45 
1  25 
1  52 
1  43 
1  94 
1  45 
1  29 
91 
1  32 
1  34 
1  25 
1  56 
1  30 
1  23 
1  08 
1  23 
1  46 
1  28 
1  53 
1  30 
1  52 
1  13 
1  20 
1  19 
1  19 
1  88 
1  45 
1  92 
1  03 
1  65 
1  30 
1  30 
2  75 
1  28 
2  07 
1  60 
1  23 
1  10 
2  16 
96 
1  28 
1  35 
1  45 
1  26 
1  29 
1  47 
2  04 
93 
1  24 
1  51 
1  15 
1  31 
1  93 
1  44 
1  45 
1  32 
1  06 
1  45 
1  04 
1  21 

$         33 
34 
42 
48 
44 
49 
'  52 
39 
54 
47 
41 
51 
77 
31 
63 
20 
63 
29 
41 
60 
37 
28 
22 
47 
75 
27 
66 
47 
40 
44 
40 
85 
27 
52 
27 
42. 
44 
54 
44 
52 
75 
62 
67 
26 
75 
42 
56 
64 
51 
47 
51 
66 
54 
39 
45 
44 
36 
39 
61 
56 
30 
52 
23 
47 
45 
27 

Albemarle    

20,125  40 

Alexandria     

16,206  46 

861  25 
7,693  58 

Alleghany    _ 

14,802  33 

Amelia                        

4,159  79 

Amherst    

8,845  53 

179  73 
72  96 
4,904  11 

Appomattox 

4  177  60 

Augusta 

38  039  75 

Bath 

7,625  52 
15,505  63 
2,603  37 
11,300  02 
13,831  15 
i        14,494  70 
|          6,394  14 
15,  2  '2  41 
7,773  20 
3,184  75 
2,815  78 
9,379  79 
21,896  00 
9,019  50 
3,757  37 
10,524  03 
3,888  27 
11,302  35 
7,794  00 
15,356  07 
4,511  17 
19,975  52 
26,797  57 
3,300  35 
2,747  76 
6,351  75 
11,762  09 
4,383  28 
5,257  73 
4,677  64 
4,071  54 
2,461  75 
6,002  61 
17,921  57 
11,726  64 
48,839  90 
7,171  30 
8,784  93 
10,196  21 
2,985  35 
2,219  27 
3,373  65 
4,030  96 
3,974  82 
8,315  24 
29,678  43 
7,974  91 
4,596  96 
6,369  48 
3,245  03 
10,666  01 
4,045  70 
8.586  59 
8,971  72 
7,888  87 
2,228  36 
57,825  22 
9,076  40 

Bedford 

8,960  00 

Bland         -    -      

1,333  30 
5,988  97 

Buchanan    -_  

750  04 
1,707  08 
433  85 
375  02 

Campbell    -  --  

Carroll    .      -         

Charles   City 

Charlotte 

1,497  22 

Chesterfield    

Clarke 

1,663  72 
375  02 
3,607  42 

Craig                       -    

Culpeper    -        --         

Cumberland    -      --  

Dickenson         --     

Dmwiddie             --    

Elizabeth    City    --       

4,485  55 
360  89 
4,435  73 
4,549  07 
33  17 
34  63 
577  06 
432  01 
2,236  27 

Essex             --  

Fairfax             - 

muvanna    —  

Franklin         .-      

Giles 

Goochland 

Grayson 

5,749  04 

Gree^isville 

6,06t  ]0 
13,512  81 
3,845  00 
17,507  68 
8,629  90 
156  25 
3,195  54 

Halifax 

Hanover    -         _    _    _ 

Henrico    -         -      --  -- 

Henry    --  --  --  -- 

Highland 

Isle   of   Wight  

James    City    

King    George 

- 

King  and  Queen  

-     

King  William  _ 

2,428  97 

Lancaster    

Lee    _ 

Loudoun    _ 

45,592  32            3,291  06 
19,292  55                943  41 
13,402  39             1,803  73 
14  594  65  1 

Louisa    

Lunenburg    _    __ 

Madison    

Ma  thews    _ 

8,919  71    . 
42,574  85 
12,051  65 
21,853  50 
24,639  51 
16,071  78    _ 
6,999  07    . 

Mecklenburg 

5,418  24 
546  00 
4,935  62 
155  12 

Middlesex    

Montgomery 

Nansemond 

Nelson    _. 

New  Kent  
Norfolk 

Northampton    

16,914  05             5,364  01 

Appendix. 


TABLE  IV— TAX  LEVIES  AND  TAX  RATES— CONTINUED. 


COUNTIES 

Taxes  Levied  on  Real  Est 

a 

I 

t>> 
pq 

S 

1 

S 

% 

«3 

"« 

"o 
H 

Av.  Tax  Rates- 

.2 
i 

£ 

By  counties,  ci- 
ties and  dis- 
tricts 

On  a  s  s  B  ssed 
values 

S*. 

M 

=  2* 

in 

o 

$      5,823  63 
8,480  91 
9,780  66 
7,202  23 
3,862  84 
23,890  01 
3,831  25 
9,047  73 
6,649  15 
12,345  87 
10,309  46 
10,596  48 
5,335  91 
2,734  89 
19,760  82 
15,554  42 
42,120  76 
9,382  26 
5,981  44 
15,455  98 
10,835  14 
13,534  93 
5,104  08 
3,241  69 
6,235  53 
8,884  51 
17,112  88 
5,185  92 
5,744  90 
13,128  72 
4,979  92 
26,423  45 
11.992  80 
3,068  05 

$    14,168  94 
27,474  94 
22,221  51 
17,216  99 
18,149  17 
68,904  31 
14,144  45 
19,954  22 
19,926  17 
13,291  27 
24,215  03 
31,106  56 
15,376  49 
9,300  47 
40,665  73 
40,214  45 
102,047  31 
45,871  78 
17,088  78 
33,226  91 
34,159  99 
33,427  81 
15,365  55 
13,382  13 
16,909  22 
28,634  56 
50,403  17 
18,403  99 
13,619  03 
51,238  03 
12,601  00 
104,768  69 
31.693  93 
10,068  23 

$    19  992  57 

$1  20 
1  83 
1  24 
1  47 

$  42 
£2 
51 
39 
58 
46 
58 
59 
57 
19 
46 
40 
53 
78 
40 
61 
58 
35 
33 
37 
41 
58 
£9 
45 
84 
87 
30 
55 
65 
52 
64 
50 
42 
49 

*          43 

8,364  82 
2,649  25 
5,710  65 
257  01 
3,553  18 

44,320  67 
34,651  42 
30,129  87 
22,269  02 
96,347  50 
17,975  70 
34,378  70 
26,575  32 
25,894  15 
37,29i  04 
51,727  12 
20,896  58 
12,035  36 
75,873  23 
65,450  17 
159,403  01 
55,571  07 
23,808  33 
54,956  51 
56,358  02 
52,358  00 
20,469  63 
16,623  82 
26,033  33 
39,778  14 
80,426  73 
25,465  29 
19,363  93 
69,365  57 
18,301  95 
146,200  47 
48.917  57 
13,209  24 

$4,149,397  34 

$      85,687  79 
47,001  04 
11,590  42 
45,730  45 
32,661  99 
156.037  44 
38.6E8  12 
301,192  11 
14f  ,744  46 
872,619  87 
171,646  63 
156.776  62 
20,384  47 
1,625,896  57 
233,542  40 
54,950  30 
39,788  78 
7,815  45 
27.370  35 

Patrick 

2  01 
1  41 
1  65 
1  33 
1  40 
75 
1  29 
1  71 

Pittsylvania   -      -  --  

5,376  75 

Princess  Anne        --    

257  01 
2,769  55 
10,024  08 
184  18 

Prince  William          - 

Pulaski                      -_    -- 

Rappahannock    

1  37 
1  54 
1  34 
1  49 
1  32 
2  08 
1  40 
1  25 
1  82 
1  35 
1  41 
1  79 
1  46 
1  57 
1  65 
1  72 
1  18 
1  85 
1  30 
1  94 
1  43 
1  51 

Richmond    --  

15,446  68 
9,681  30 
15,234  94 
317  03 
738  11 
6,273  62 
11,362  89 
5,395  26 

Rockbridge    -- 

Rockingham 

Russell   _.    _      

Scott  _         _____    

Shenandoah         _ 

Smyth         

Southampton  

Spotsylvania    —  -  

Stafford    -  

Surry    __  __  __    __  _ 

2,888  58 
2,259  07 
12,910  68 
1,875  38 

Sussex    

Tazewell 

Warren 

Warwick    

Washington 

4,998  82 
721  03 
15,008  33 
5.230  84 
72  96 

Westmoreland 

Wise    —        

Wythe    

York   

Totals   lor   counties  

CITIES 
Alexandria    

$1,075,213  17 

$2,780,646  79 

293,537  38 

1  35 

$      19,203  75 
8,304  57  i 
2,392  09 
10,591  70 
5,492  26 
31.207  50 
8,422  89 
62,000  40 
33,012  94 
172,688  81 
38,032  99 
33,315  95 
4,459  10 
336,739  75 
54,142  40 
14,129  01 
7,604  59 
2,019  43 
8.628  99 

$      66,484  04 
38,696  41 
9,198  33 
35,138  75 
27,169  73 
124.829  94 
30,235  23 
239,191  71 
115,731  52 
699,931  06 
133,613  64 
123.460  67 
15,925  37 
1,289,156  82 
179,400  00 
40,821  29 
32,184  19 
5,796  02 
18.741  36 

1  56 
1  98 
1  71 
1  51 
2  09 
1  75 
1  61 
70 
58 
77 
58 
65 
61 
69 
51 
36 
88 
1  35 
1  11 

81 
93 
1  02 
74 
97 
]  11 
1  23 
96 
1  10 
91 
99 
77 
96 
93 
74 
61 
87 
95 
50 

Bristol   _    _ 

Buena  Vista  

Charlottesville  

Clifton   Forge   

Danville    

Fredericksburg      

Lynchburg     

Newport  News     

Norfolk   



Petersburg    

Portsmouth    
Radford 

Richmond    
Roanoke   

Staunton    _    _ 



Suffolk    

Williamsburg   _    __    _ 
Winchester    

Totals    for   cities 



Total  counties  and  cities- 

il,  927,  602  29   $ 

3.225,706  14 
6,006,352  93 

293,537  38 

4,078,095  26     { 
3,227,492  60  |$ 

1  68 
1  49 

91 
5» 

16-TC 


24:2 


Report  of  Committee  on  Tax  Revision. 


TABLE  V.— LIVE  STOCK. 

ASSESSED  AND  CENSUS  VALUES 

Horses,  Mules,  Etc. 


NUMBER 


VALUE 


COUNTIES 

Asst. 
1913 

Census 
1910 

Asst. 
1913 
Total  Val. 
Assessed 

Average 
Value 
Assessed 

Census 
1910 
Total  Val. 

Census 
Average 
Value 

Accomac 

7,681 

8,331 

$    434,695 

$    57  00 

$    857,879 

$    103  CO 

Albemarle    --  

7,734 

8,613 

482,310 

62  00 

925,326 

107  00 

1  165 

1,807 

69,205 

59  00 

238,  -184 

132  (0 

1,635 

1,880 

118,387 

72  00 

221,630 

118  00 

Amelia 

2,336 

2,409 

164,240 

70  00 

269,532 

112  00 

Amherst 

4,046 

4,819 

210,272 

52  00 

547,009 

114  00 

Appomattox                   

1,533 

2,367 

137,291 

90  00 

253,010 

107  00 

Augusta    --  --  --  

11,968 

13,278 

928,806 

78  00 

1,554,854 

117  00 

Bath 

1  756 

1,863 

134,710 

77  00 

218,584 

162  CO 

Bedford 

7,564 

9,0-'0 

562,681 

7*  00 

948,575 

105  00 

Bland 

1,762 

2,031 

146,320 

83  00 

229,190 

113  (0 

Botetourt 

3,746 

4,884 

266,002 

71  00 

545,949 

112  00 

Brunswick                        -  

4,036 

3,615 

334,125 

83  00 

438,661 

121  CO 

2  110 

2,267 

97,078 

46  00 

273,342 

120  00 

Buckingham   --  --  --      -  

3,198 

3,538 

218,990 

68  00 

388  817 

no  ro 

Campbell 

4,634 

4,778 

338,675 

73  00 

533,857 

112  00 

Caroline 

4,378 

5,105 

330,662 

76  00 

577,231 

113  00 

Carroll 

3,249 

3,422 

166,029 

51  00 

396,r;71 

116  CO 

Charles   City        -              

1,304 

1,315 

103,785 

80  00 

157,895 

120  00 

Charlotte                     - 

3,764 

3,537 

313,560 

83  00 

401,249 

115  00 

Chesterfield 

3  225 

3,914 

264,355 

82  00 

422  069 

108  00 

Clarke 

3,969 

4,678 

263,895 

66  00 

537  564 

115  00 

Craig 

1,514 

1,685 

72,600 

48  00 

193,493 

115  00 

Culpeper 

4,940 

5,834 

253,927 

51  00 

638,006 

]<;9  CO 

Cumberland 

2,223 

2,415 

179,540 

81  00 

261,711 

108  00 

Dickenson    -                   -  

1,953 

1,793 

142,027 

73  00 

196,706 

110  CO 

Dlnwiddie 

3  638 

3,466 

284  290 

78  00 

443  721 

12-i  01 

Elizabeth   City 

1,191 

1,315 

60,840 

51  00 

139  266 

106  00 

Essex 

2,572 

3,0^2 

134,579 

52  00 

278  451 

91  00 

Fairfax 

5,390 

6,320 

350,623 

65  00 

683  019 

10S  00 

Fauquier                          -    -- 

9,351 

11,309 

693,725 

74  00 

1  237  743 

109  00 

Floyd                            

3,770 

3,959 

238,955 

63  00 

439  405 

111  00 

2  213 

2,452 

112  643 

51  00 

238  683 

97  00 

Franklin 

6  155 

6,766 

299  611 

49  00 

742  395 

110  CO 

Frederick 

5,610 

7,233 

360  040 

64  00 

820*358 

11  I  f  0 

Giles 

3,081 

3,345 

140,703 

46  00 

376  895 

113  00 

2  837 

3  475 

1^6  875 

55  00 

319  677 

92  co 

2  305 

2  550 

171  105 

74  00 

279  909 

no  co 

Orayson 

4,381 

4,788 

335  850 

77  00 

545  225 

114  00 

Greene                             --  -- 

2,064 

2,197 

112  479 

55  00 

231  '  083 

105  00 

Greensville  --    

1,881 

1,673 

147  632 

78  00 

216  124 

129  00 

Halifax 

8,004 

8  539 

661  592 

83  00 

1  050  5F6 

123  CO 

4,934 

5  254 

356*322 

79  00 

523  1"6 

99  00 

3,931 

3,918 

302  369 

77  00 

481  932 

123  CO 

Henry    -         --  

2,915 

2    QOO 

164  181 

56  00 

367  52?  ' 

123  00 

Highland 

2  425 

2  733 

119  170 

49  00 

312  805 

115  00 

Isle   of   Wight 

3,490 

3  341 

242*311 

70  00 

311  635 

93  00 

James    City             -    --  - 

960 

992  , 

70  119 

73  00 

101  170 

102  00 

King  George         -    

2,216  : 

2  589 

117  251 

53  00 

274  339 

106  CO 

King  and  Queen           _.  _.  __ 

2,766 

3,051 

154,625 

56  00 

272  786 

89  00 

King   William    _         

2,895 

2,878 

170,510 

59  00 

298  851 

lOt  00 

1,938 

1  982 

113  365 

58  00 

153  408  ' 

Lee                                     

5,611 

6  046 

316  211 

56  00 

612  014 

Loudoun    _            --  _-      

11,256 

12  234 

953  668 

85  00  ' 

1  408*203 

4  066 

4  148 

246  695 

61  00 

498  £Sb?    ' 

Lunenburg 

3,240 

2  962 

235  585 

73  00 

OQO    —in 

Madison    -    -                    

3,472 

3  956 

167  912 

48  00 

391  566 

Mathews   

1,553 

1,661 

68  155 

44  00 

165  905  ! 

100  00 

Mecklenburg 

6  341 

6  090 

461  497 

73  00 

CQ-   1709 

Middlesex 

2,173 

2  198 

113  127 

52  00 

IQI    coo 

Montgomery    ..    _-  

3,762 

4,142 

277  757 

74  00 

423  869 

Nansemond 

3  977 

4  303 

253  057 

Nelson    _ 

3.956 

4.210 

978  'jRK 

7n  nn 

41  rt    fill 

01  AA 

Appendix. 


243 


TABLE   V— HORSES,    MULES,    ETC.— CONTINUED. 


NUMBER 


VALUE 


COUNTIES 

Asst. 
1913 

Asst. 
Census             1913 
1910          Total  Val 
Assessed 

Average 
Value 

•  Assessed 

Census 
1910 
Total  Val 

Census 
Average 
Value 

New  Kent            — 

1,553 
4,870 
4,866 
2,856 

1,330 
4,731 
4,494 
2,948 
2,599 
4,998 
3,535 
2,929 
9,167 
1,989 
2,783 
2,424 
3,039 
4,391 
3,217 
3,551 
2,041 
3,736 
7,495 
12,956 
6,000 
7,033 
7,804 
4,731 
3,907 
3,839 
2,548 
1,999 
2,945 
5,317 
3,056 
763 
8,268 
2,911 
2,973 
5,401 
1,484 

$      86,175 
362,900 
316,004 
185,694 
165,216 
249,081 
211,185 
226,456 
569,505 
133,654 
195,195 
220,650 
220,103 
292,527 
191,680 
174,285 
122.193 
237,009 
445,516 
838,721 
307,116 
360,587 
571,143 
224,475 
459,550 
238,039 
159,910 
149,790 
220,190 
252,009 
92,025 
40,420 
331,063 
142,896 
193,688 
274,867 
71,050 

1 
$    55  00 
75  00 
65  00 
65  00 
65  00 
59  00 
66  00 
77  00 
68  00 
94  00 
78  00 
85  00 
66  00 
73  00 
67  00 
57  00 
62  00 
73  00 
66  00 
74  00 
58  00 
60  00 
84  00 
59  00 
90  00 
65  00 
68  00 
71  00 
81  00 
56  00 
40  00 
.    57  00 
33  00 
55  00 
63  00 
65  00 
52  00 

$    142,340 
523,079 
480,902 
242,801 
293,211 
572,807 
365,773 
336,205 
1,176,838 
223,965 
355,265 
294,980 
267,085 
451,635 
378,937 
390,065 
156,100 
394,251 
797,953 
1,613,743 
677,983 
691,367 
907,832 
487,182 
423,889 
378,456 
240,985 
237,081 
3.-9,976 
580,119 
335,735 
76,350 
882,333 
229,435 
319,704 
594,808 
127,375 

$    107  GO 

110  00 
117  00 
82  00 
113  00 
115  00 
103  00 
115  00 
128  00 
112  00 
128  00 
122  00 
88  00 
103  00 
118  00 
110  00 
76  00 
106  00 
107  00 
125  00 
113  CO 
98  00 
116  00 
103  CO 
109  00 
99  00 
95  00 
119  00 
122  00 
109  00 
110  00 
ICO  00 
107  00 
79  00 
107  00 
110  00 
•    86  00 

•5      HO  CO 

Norfolk 

Northampton 

Northumberland 

Nottoway 

2,529 
4,223 
3,186 
2,927 
8,425 
1,427 
2,507 
2,580 
3,357 
4,029 
2,877 
3,071 
1,972 
3,260 
6,774 
11,363 
5,256 
6,016 
6,815 
3,835 
5,126 
3,642 
2,364 
2,123 
2,721 
4,521 
2,302 
712 
6,198 
2,607 
3,060 
4,215 
1,365 

Orange    ..                          -    

Page  -    -    -    -          -  

Patrick    _         _      - 

Pittsylvania 

Powhatan 

Prince  Edward 

Prince  George 

Princess  Anne 

Prince  William 

Pulaski                             _    

Rappahannock    

Richmond     

Roanoke   

Rockbridge    ..    

Rockingham   - 

Russell 

Scott 

Shenandoah    _                   _  _ 

Smyth    _    _ 

Southampton    

Spotsylvania 

Stafford 

Surry    

Sussex    

Tazewell    

Warren 

Warwick    __ 

Washingtpn    __ 

Westmoreland   

Wise 

Wythe    -  - 

York    _-  _  — 

Totals 

381,273 

418,669 

$25,  no,  648 

$     71  00 

i?45,961,596 

CITIES 
Alexandria 

320 

171 
135 
374 
166 
772  i 
278  i 
943  ; 
409 
1,475 
639 

260 
2,952 
1,193 
405 
299 
139 
371 

12,000 

379 

288 
189 
383 
182 
877  i 
313 
1,159 
363 
2,143 
710 
903 
243 
4,530 
1,360 
548 

$       22,835 
12,118 
10,185 
35,485 
13,020  i 
78,470  ! 
18,744 
99,486 
31,515 
135,640 
66,505  i 
57,195 
21,028 
287,075 
90,209 
36,490 
23,940 
9,536 
24,845 

»  1,074.321    $ 
26,784,969    <j 

9      71  00 
71  00 
75  00 
95  00 
78  00 
102  00 
67  00 
105  00 
77  00 
92  00 
104  00 
82  00 
81  00 
97  00 
76  00  ! 
90  00 
80  00    . 
69  00 
6700 

90  00     •• 
68  (X 

t        53,805 
43,221 

22,305 
67,947 
21,665 
138,755  I 
44,930  i 
161,124  ' 
50,300 
314,619 
88,056 
107,600 
32,777 
625,009 
184,322 
93,855 

$      142  03 
150  00 
118  TO 
177  00 
119  00 
158  00 
144  00 
139  00 
138  00 
117  00 
124  00 
119  00 
135  00 
138  00 

Bristol    

Buena  Vista  

Charlottesville 

Clifton  Forge 

Danville    > 

Fredericksburg    _                       ! 

Lynchburg  

Newport  News  

Norfolk   

Petersburg 

Portsmouth    _ 

Radford    

Richmond    

Roanoke   . 

Staunton    

135  00 
171  00 

Suffolk    _.       _    _ 

Williamsburg   
Winchester  

108 
490 

15,  168.  ^ 

11,060 
60,583 

107  00 
124  00 

Total  counties  and  cities  

2,121,933    f 
48,083,529    ? 

133  00 
111  00 

393,273 

433,837   3 

244 


Report  of  Committee  on  Tax  Revision. 


TABLE  V — LIVE  STOCK — CONTINUED. 

Cattle. 


COUNTIES 

NUMBER 

VALUE 

Asst. 
1913 

Census 
1910 

Asst. 
1913 
Total  Val 
Assessed 

Averag 
Value 

•    Assesse 

3       Census 
1910 
d  Total  Val 

Census 
Average 
.      Value 

Accomac  

3,34 

5,690 
18,777 
790 
5,550 
3,942 
9,468 
3,881 
29,071 
6,275 
19,866 
7,656 
11,455 
7,200 
6,953 
6,769 
9,266 
7,202 
17,538 
2,466 
5,961 
5,913 
6,438 
5,716 
15,872 
4  691 

$      42,337 
230,390 
16,070 
66,518 
46,995 
82,630 
35,759 
476,929 
93,333 
211,390 
147,438 
129,697 
69,655 
50,411 
73,821 
116,845 
72,023 
147,915 
22,640 
72,019 
81,345 
101,792 
55,443 
241,303 
55,792 
60,573 
58,910 
21,793 
39,846 
187,711 
710,717 
174,767 
38,895 
111,497 
127,440 
106,355 
44,655 
56,950 
328,951 
55,916 
20,411 
131,756 
90,593 
180,729 
49,279 
132,237 
33,484 
19,602 
38,963 
39,730 
38,924  I 
27,531 
231,489 
627,621 
93,465 
45,534 
131,662 
18,087 
96,915 
27,334 
174,885 
32,133 
97,773 
15,583 
98,480 
21,885 

$    1200 
19  00 
25  00 
18  00 
14  00 
15  00 
12  00 
20  00 
21  00 
16  0 
28  00 
17  00 
12  00 
11  00 
16  00 
17  0 
16  00 
12  00 
16  00 
17  00 
21  00 
22  00 
14  00 
20  00 
17  00 
15  00 
15  00 
21  00 
12  00 
23  00 
30  00 
14  00 
13  00 
10  00 
19  00 
14  00 
12  00 
16  00 
23  00 
16  00 
10  00 
14  00 
17  00 
33  00 
15  00 
17  00 
12  00 
16  00 
14  00 
13  00 
14  00 
18  00 
15  00 
30  00 
16  00 
13  00 
17  00 
12  00 
12  00 
15  00 
18  00 
11  00 
18  00 
13  00 
24  00 
15  00 

$    125  12 

$     22  00 
25  03 
29  00 
24  00 
23  00 
24  00 
20  00 
27  00 
25  00 
22  00 
27  00 
23  00 
16  00 
19  00 
21  CO 
23  00 
20  00 
24  00 
28  00 
20  00 
27  00 
29  00 
26  CO 
26  CO 
20  00 
20  00 
22  00 
32  00 
20  00 
30  00 
33  00 
22  00 
20  00 
19  00 
25  00 
26  CO 
22  00 
22  00 
27  00 
21  00 
17  00 
19  CO 
22  00 
36  00 
18  00 
30  00 
16  00 
23  00 
21  00 
20  00 
21  00 
23  00 
23  00 
32  00 
22  00 
20  00 
21  00 
26  00 
18  CO 
23  00 
24  00 
17  CO 
21  00 
22  00 
32  00 
23  00 

Albemarle  
Alexandria    —  

Alleghany    

12,19 
63 
3,60 

471,53 
23,19 
131,30 
90,96 
229,45 
78,27 
772,23 
158,18 
433,21 
203,28 
267,76 
117,92 
131,78 
145,32 
210,833 
146,29 
418,37 
68,709 
118,662 
160,454 
187,039 
149,492 
411,073 
95,529 
105,975 
129,614 
58,279 
92,855 
346,373 
877,926 
374,839 
96,431 
321,300 
276,493 
241,705 
105,747 
115,920 
501,629 
98,212 
45,212 
280,833 
157,731 
254,437 
122,402 
368,895 
58,4J6 
31,601 
98,087 
91,623 
75,539 
51,968 
418,231 
771,046 
189,988 
96,468 
212,159 
54,758 
192,109 
58,932 
293,277 
76,702 
165,547 
41,117 
142,738 
46.954 

Amelia   _ 

3,260 
5,365 
2,94 
23,43 
4,47 
13,09 
6,33 
7,468 
5,65 
4,71 
4,58 
6,72 
4,59 
12,560 
1,460 
4,278 
3,954 
4,652 
3,936 
11,841 
3,247 
4,145 
4,005 
1,024 
3,235 
8,078 
23,752 
12,350 
3,050 
11,340 
6,764 
7,379 
3,773 
3,510 
14,319 
3,407 
1,967 
9,308 
5,295 
5,443 
3,197 
7,784 
2,780 
1,221 
2,860 
3,267 
2,820 
1,560 
15,301 
20,662 
6,018 
3,404 
7,730 
1,519 
7,876 
1,802 
9,786 
2,815 
5,444 
1,248 
4,125 
1,453 

Amherst 

Appomattox    __ 

Augusta 

Bath 

Bedford    _    - 

Bland 

Botetourt 

Brunswick    - 

Buchanan 

Buckingham  . 

Campbell    

Caroline 

Carroll    - 

Charles  City  - 

Charlotte 

Chesterfield 

Clarke    

Craig 

Culpeper 

Cumberland 

Dickenson  _ 

5,400 
5,993 
1,806 
4,691 
11,696 
26,277 
16,880 
4,709 
16,647 
11,147 
9,419 
4,771 
5,351 
18,678 
4,642 
2,693 
14,468 
7,180 
7,087 
6,637 
12,355 
3,720 
1,366 
4,646 
4,665 
3,518 
2,305 
18,412 
23,703 
8,490 
4,740 
10,250 
2,137 
10,725 
2,568 
12,066 
4,485 
8,033 
1,864 
4,399 
2,078 

Dinwiddie  . 

Elizabeth  City  

Essex 

Fairfax 

Fauquier    _ 

Floyd   

Fluvanna    

Franklin    

Frederick    _ 

Giles    

Gloucester    

Goochland    

Grayson    _ 

Greene    

Greens  ville  

Halifax   

Hanover  _ 

Henrico 

Henry    

Highland    

Isle  of  Wight  _ 

James  City  _ 

King  George  _ 

King  and  Queen  

King    William    .. 

Lancaster    _    _ 

Lee  

Loudoun    _ 

Louisa    

Lunenburg    

Madison    

Mathews    

Mecklenburg   _. 

Middlesex   _.  _.  _ 

Montgomery    ..  

Nansemond   

Nelson    

New    Kent    

Norfolk   

Northampton    . 

Appendix. 


245 


TABLE  V — CATTLE — CONTINUED. 


COUNTIES 

NUMBER 

VALUE 

Asst. 
1913 

Asst. 
Census              1913 
1910           Total  Val 
Assessed 

Average       Census 
Value     !       1910 
Assessed   Total  Val. 

1 

Census 
Average 
Value 

2,575 
3,534 
7,436 
6,399 
6,827 
9,846 
2,439 
3,085 
2,063 
2,248 
6,868 
9,381 
9,532 
2,713 
6,088 
11,202 
21,361 
19,816 
11,516 
10,319 
11,625 
4,510 
5,175 
3,711 
1,675 
2,626 
19,333 
3,128 
1,017 
16,662 
3,288 
6,116 
11,442 
2,135 

652,851 

34 

88 
1-43 
104 
147 
419 
93 
4-13 
102 
45 
112  j 
66 
396  : 
38 
610 
127 
31 
67 
94 

3,583 

4,962 
10,192 
7,664 
9,624 
13,788 
3,209 
4,584 
2,596 
3,059 
8,949 
11,154 
11,912 
3,710 
8,124 
15,374 
27,324 
20,873 
18,074 
14,164 
15,192 
7,115 
7,602 
5,509 
2,422 
3,834 
23,832 
6,221 
1,448 
24,654 
4,510 
8,732 
16,307 
3,138 

$        46,692 
53,651 
131,916 
112,930 
107,879 
107,784 
39,654 
49,836 
33,337 
33,332 
163,948 
225,903 
197,105 
42,887 
119,307 
199,224 
466,824 
409,683 
188,317 
221,336 
222,341 
64,564 
76,259 
69,919 
17,318 
35,302 
419,940 
37,230 
18,935 
253,260 
49,119 
125,372 
241,157 
27,873 

$11,994,717 

$      18  00 
15  00 
18  00 
18  00 
16  00 
11  00 
16  00 
16  00 
16  00 
15  00 
24  00 
24  00 
21  00 
16  00 
20  00 
18  00 
22  00 
21  00 
16  00 
22  00 
19  00 
15  00 
15  00 
19  00 
10  00 
13  00 
21  00 
12  00 
19  00 
15  00 
15  00 
20  00 
21  00 
13  00 

$        81,306 
110,907 
239,774 
172,734 
198,586 
28  1,  593 
70,068 
114,895 
53,545 
60,225 
261,445 
410.281 
367,779 
78,271 
223,476 
342,594 
757,093 
577,607 
397.820 
340.526 
438,693 
85,172 
144,  9i4 
127,034 
44,195 
75,752 
765,583 
156,337 
39,250 
632,440 
94,033 
213,456 
522,374 
62,121 

$  23  00 
22  CO 
24  00 
23  00 
21  CO 
21  CO 
22  00 
25  00 
21  00 
20  00 
29  CO 
37  00 
31  00 
21  00 
28  00 
22  00 
28  00 
28  00 
22  00 
2t  00 
29  00 
12  00 
19  CO 
22  CO 
18  00 
20  00 
S3  OT 
2^  00 
27  00 
26  00 
20  00 
24  00 
32  OD 
20  00 

Patrick                         

Prince   "William 

Pulaski                          --  

Rappahannock    - 

Richmond     -               

Roanoke   -                   _-  __  __ 

Rockbridge    _    __  _ 

Rockingham    __ 

Russell    __  __  __ 

Scott 

Shenandoah 

Smyth 

Southampton 

Spotsylvania    _ 

Stafford 

Surry      _        

Sussex 

Ta  zewell 

Warren 

Warwick 

Washington 

Westmoreland    _ 

Wise    

Wythe      

York    

Totals    _.   _ 

890,538 

173 
434 

124 
259 
556 
119 
663 
101 
127 
301 
141 
474 
310 
710 
280 

8      18  00 

$22,031,162 

$        2t  00 

CITIES 

Alexandria     __  _ 

$             740 
2,245 
5,245 
3,015 
3,345 
8,824 
1,967 
11,175 
3,220 
1.480 
2,985 
1,470 
9,266 
P65 
11,811 
3,855 
650 
1,501 
2,190 

?        75,949 

' 

$      22  00 
26  00 
37  00 
29  00 
23  00 
21  00 
21  00 
25  00 
31  00 
33  00 
27  00 
22  00 
23  00 
2'i  00 
19  00 
30  00 
21  00 
22  00 
23  00 

5      24  00 

$          2,345 
6,076 
12,496 
4,400 
8,389 
19.016 
4,592 
20,756 
4,225 
6.278 
9,^60 
5,433 
15,159 
9,814 
23  267 
10,040 

fc        33  00 
35  00 
29  00 
35  00 
32  00 
21  00 
39  00 
31  00 
42  00 
49  CO 
31  00 
39  00 
32  00 
32  00 
33  00 
36  00 

Bristol 

Buena  Vista  _ 

Charlottesville    - 

Clifton   Forge  _ 

Danville    

Fredericksburg    

Lynchburg 

Newport  News 

Norfolk    

Petersburg    _  __  _ 

Portsmouth    

Radford 

Richmond     _ 

Roanoke   __  __  _ 

Stannton    __ 

Suffolk  

Williamsburg    _ 
Winchester    

136 
213 

5,190 

2  891 
6,454 

fr      171,091    * 

21  00 
30  00 

Totals  counties  and  cities.. 

3,159 
656,010 

5        33  00 

895,728 

02,070,666 

5      18  00 

(22,202,253    $ 

?4  CO 

246 


Report  of  Committee  on  Tax  Revision. 


TABLE  V — LIVE  STOCK — CONTINUED. 

Sheep  and  Goats. 


COUNTIES 

NUMBER 

VALUE 

Asst. 
1913 

Census 
1910 

Asst. 
1913 
Total  Val 
Assessed 

Average 
Value 

Assessec 

i      Census 
1910 
1  Total  Val. 

Census 
Average 
Value 

Accomac 

1  954 

3,019 
11,365 
12 
5,594 
1,290 
2,745 
581 
34,568 
16,644 
5,775 
13,295 
3,667 
2,691 
10,004 
2,041 
?,060 
1,138 
16,011 
2,134 
1,711 
1,527 
20,499 
8,390 
13,845 
641  1 
6,438 
1,079 
451 
3,175 
3,253  i 
18,642  ; 
18,377 
?,028  I 
5,177 
20,425  i 
23,427 
3,631  , 
1,676 
19,338 
8,984 
447  ! 
2,931 
5,044  i 
963  i 
1,332  ; 
33,534  '• 
717  i 
747 
3,884 
2,274 
3,162 
902  i 
6,676 
3,462 
1,757 
1,042 
6,958 
1,085 
2,907  ! 
1,350  i 
30,839 
1,456 
3,187 
902 
969 
3,469 

$       4,434 
19,868 
135 
7,363 
2,325 
3,139 
775 
53,250 
30,749 
8,067 
16,446 
5,361 
6,757 
5,881 
4,069 
3,343 
1,663 
14,276 
3,335 
2,513 
2,324 
26,450 
7,994 
24,570 
1,126 
4,655 
1,642 
805 
4,217 
6,317 
37,792 
18,562 
3,915 
4,924 
19,186 
30,882 
4,853 
2,380 
27,482 
4,474 
544 
4,218 
8,139 
1,344 
1,774 
54,939 
1,044 
1,167 
6,427 
2,6^3 
5,256 
951 
4,324 
44,933 
2,448 
1,626 
9,145 
650 
5,449 
1,600 
25,588 
884 
4,863 
1,247 
1,650 
4,027 

$     2  27 
4  06 
5  00 
2  76 
3  45 
437 
2  99 
4  05 
3  22 
3  32 
2  97 
3  74 
3  82 
1  00 
3  61 
3  24 
3  04 
2  28 
2  82 
2  87 
3  03 
3  85 
2  23 
3  87 
3  23 
1  10 
3  21 
3  54 
3  02 
4  17 
4  66 
2  54 
3  83 
2  43 
2  57 
3  08 
2  13 
3  15 
3  29 
3  07 
2  24 
3  21 
3  27 
3  00 
3  04 
2  98 
1  92 
2  92 
3  21 
2  68 
3  10 
3  21 
1  74 
3  80 
3  00 
2  81 
3  49 
1  53 
2  44 
2  13 
2  70 
1  62 
3  28 
2  37 
2  13 
2  65  J 

$       8,430 
53,286 
65 
20,8f>8 
4,782 
14,664 
2,280 
145,101 
63,796 
22,457 
48,404 
16,312 
7,802 
30,049 
7,283 
7,527 
4,096 
59,226 
10,686 
5,328 
6.162 
92,491 
82,294 
67,881 
2,342 
18,199 
4,019 
1.866 
11,789 
17,441 
85,934 
67,628  , 
7,362 
14,861  i 
91,528 
89,7-!8 

$       2  79 
4  70 
5  42 
3  73 
3  71 
5  34 
3  93 
4  20 
3  88 
3  89 
3  61 
4  45 
2  CO 
3  00 
3  56 
3  65 
3  CO 
3  70 

Albemarle    

4  894 

Alexandria     

27 

Alleghany 

2,668 
674 
717 
268 
13,133 
9,577 
2,881 
5,547 
1,432 
1,767 
5,854 
1,127 
1,031 
548 
6,261 
1,182 
874 
7,766 
6,871 
3,584 
6,346 
348 
4,231 
508 
227 
1,395 
1,513 
8,131 
7,302 
1,022 
2,021 
7,016 
10,021 
2,279 
754 
8,361 
1,458 
243 
1,311 
2,4?6 
J4& 
581 
18,451 
545 
399 
2,005 
990 
1,696 
296 
2,484 
11,821 
815 
577 
2,615 
425 
2,028 
752 
9,468 
547 
1,485 
527 
776 
1,515 

Amelia    - 

Amherst 

Appomattox 

Augusta    

Bath    

Bedford 

Bland 

Botetourt 

Brunswick    _ 

Buchanan    __ 

Buckingham   _    _    _ 

Dampbell 

Caroline 

Oarroll  _ 

Charles    City 

Charlotte  _. 

3  11 
4  04 
4  51 
3  85 
4  90 
3  65 
2  83 
3  73 
4  14 
3  71 
5  36 
4  61 
3  68 
3  63 
3  87 
4  48 
3  83 
3  17 
4  07 
4  58 
4  18 
2  39 
3  74 
4  ^0 
4  18 
3  60 
4  05 
2  60 
2  92 
4  50 
3  09 
4  16 
4  05 
2  95 
4  08 
4  ^0 
3  73 
3  nl 
3  62 
3  13 
4  27 
4  08 
2  62 
3  09 
3  74 
2  93 
3  35 

Chesterfield   - 

Clarke    

Craig    _ 

Culpeper   

Cumberland       

Dickenson    

Dinwiddie   - 

Elizabeth    City 

Essex    

Fairfax   __    . 

Fauquier  _ 

Floyd   _ 

Fluvanna   _ 

Franklin    .. 

Frederick    

Giles    

Gloucester    

Goochland   _ 

6,833 
88,578 
16,482 
1,070 
10,968 
22,173 
4,030  i 
4,801 
135,860 
1,867 
2,182  : 
17,455  ! 
7,034 
13,186 
3,657 
19,726 
147,971 
7,784 
3,892 
26,089  i 
3,192  i 
9,110 
5,772 
125,991  i 
3,816 
11,790 
3,375 
2,845 
11,626 

Grayson    

Greene    

Greensville   

Halifax    

Hanover   __  _ 

Henrico    __ 

Henry    

Highland    

Isle  of  Wight  

James    City   

King    Georee 

King  and   Queen  _ 

King  William  

Lancaster    

Lee  

Loudoun  

Louisa   

Lunenburg    

Madison    _  __ 

Mathews   

Mecklenburg   _ 

Middlesex   ... 

Montgomery    

Nansemond   

Nelson    

New  Kent  -— 

Norfolk   

Northampton 

Appendix. 


247 


TABLE   V — SHEEP   AND    GOATS — CONTINUED. 


NUMBER 


VALUE 


COUNTIES 

Asst. 
1913 

Census 
1910 

Asst. 
1913 
Total  Val. 

Assessed 

Average 
Value 

Assessed 

Census 
1910 
Total  Val. 

Census 
Average 
Value 

1,231 

2,856 

$        4,101 

$      3  33 

$      11,068 

$       3  88 

641 

1,131 

1,708 

2  66 

4,219 

3  73 

3,058 

7,753 

11,911 

3  90 

35,331 

4  55 

Page 

2,528 

4,564 

9,688 

3  83 

18,251 

4  CO 

Patrick 

1,694 

4,355 

3,531 

2  08 

15,116 

3  48 

Pittsylvania 

847 

2,090 

2,588 

3  05 

6,366 

3  05 

1,103 

1,332 

3,293 

2  98 

5,632 

4  22 

Prince  Edward 

477 

1,120 

1,768 

3  70 

4,369 

3  90 

Prince  George 

782 

1,899 

2,129 

2  72 

6,814 

3  59 

Princess  Anne 

2,980 

4,996 

6,747 

2  26 

12,626 

2  53 

Prince  William 

2,005 

4,404 

8,838 

4  41 

20,972 

4  75 

Pulaski 

11,681 

30,830 

34,759 

2  97 

134,480 

4  36 

Rappah  annock 

4,475 

9,650 

16,425 

3  67 

45,507 

4  72 

1  144 

2  246 

3  248 

2  83 

7  674 

3  41 

Roanoke     - 

1,083 

3,483 

2,463 

2  27 

14,740 

4  22 

Rockbridge    - 

6,296 

14,861 

27,145 

4  31 

.      62,090 

4  18 

Rockingham    _ 

8,242 

25,464 

24,633 

2  99 

105,404 

4  14 

Russell   _         _    _    -    

14,496 

43,918 

36,905 

2  55 

177,088 

4  (.3 

Scott    -    -- 

4,073 

12,108 

6,324 

1  55 

41,647 

3  44 

Shenandoah    

6,349 

16,035 

21,029 

3  31 

66,062 

4  12 

Smyth 

8,110 

22,044 

17,822 

2  20 

92  582 

5  20 

Southampton      _         __  _ 

1,808 

1,697 

3,180 

1  76 

3,498 

2  C6 

Spotsylvania    -    - 

1,306 

2,736 

4,218 

3  23 

10,581 

3  87 

Stafford    _-  --    -            --  -- 

470 

888 

1,417 

3  01 

3,143 

3  54 

Surry 

235 

276 

494 

2  10 

832 

3  02 

Sussex      ._-    _    . 

912 

1,637 

2,532 

2  77 

4,437 

2  71 

Tazewell 

17  281 

45,490 

43  884 

2  54 

185,132 

4  07 

Warren 

2  494 

9,156 

9,100 

3  65 

40,581 

4  43 

Warwick 

179 

381 

535 

2  99 

1,423 

3  73 

Washington 

11  309 

30,372 

33,032 

2  92 

138,934 

4  -.8 

Westmoreland    - 

1,227 

2  682 

4,121 

3  36 

10,919 

4  08 

Wise    _- 

2  123 

3,983 

3  166 

1  *9 

12,404 

3  11 

Wythe    — 

14  859 

35,601 

32,852 

2  21 

159  261 

4  47 

York   

322 

730 

779 

2  42 

1  873 

2  57 

Totals    _ 

339  134 

787  062 

$1,011  554 

?      2  98 

f3,337  183 

$        4  24 

CITIES 
Alexandria 

3 

$              ."5 

$        1  83 

Bristol 

4 

17 

4  25 

Buena  Vista 

Charlottesville 

1 

5 

5  00 

Clifton   Forge 

Danville 

2 

Q 

$              8 

$      4  00 

23 

4  16 

Fredericksburg 

13 

84 

6  46 

Lynchburg 

Q 

19 

3  16 

Newoort  News 

1 

I 

10 

10  00 

2 

2  00 

Norfolk  • 

62 

243 

o    no 

Petersburg 

2 

g 

25 

12  50 

40 

5  00 

Portsmouth 

2 

22 

5 

2  50 

105 

21  00 

Radford    _ 

40 

99 

120 

3  00 

480 

4  85 

Richmond 

36 

411 

11  40 

Roanoke 

2 

9 

30 

15  00 

65 

7  22 

Stannton    -    -- 

2 

12 

6  00 

Suffolk    _ 

Williamsburg    

4 

6 

1  50 

Winchester 

31 

261 

100 

3  23 

1  341 

5  14 

Totals    

84 

533 

$           304 

$      3  62 

$        2  904 

f>        5  45 

Totals  counties  and  cities.- 

339,218 

787,595 

$1,011,858 

$      3  00 

$3,340,087 

$        4  00 

248 


Report  of  Committee  on  Tax  Revision. 
TABLE  V— LIVE  STOCK — CONTINUED. 

Hogs. 


COUNTIES 

NUMBER 

VALUE 

Asst. 
1913 

Census 
1910 

Asst. 
1913 
Total  Val. 
Assessed 

Average 
Value 

Assessed 

Census 
1910 
Total  Val. 

Census 
Average 
Value 

Accomac 

4,842 
7,559 
338 
1,715 
3,297 
3,810 
2,065 
14,133 
2,320 
6,369 
2,807 
3,161 
6,282 
7,766 
3,823 
4,672 
3,230 
4,429 
1,944 
5,277 
1,711 
5,644 
1,364 
4,824 
2,979 
4,546 
3,868 
951 
3,048 
3,595 
11,351 
3,384 
2,528 
5,758 
5,538 
4,543 
2,981 
3,043 
4,336 
3,141 
3,181 
10,172 
4,224 
2,659 
2,824 
3,059 
13,204 
1,074 
2,283 
,  2,240 
2,162 
1,446 
7,845 
8,117 
3,894 
3,416 
4,901 
1,871 
8,474 
2,344 
4,977 
9,308 
3,805 
1,353 
7,814 
4,478 

17,574 
15,722 
£22 
3,001 
4,670 
7,337 
3,723 
22,367 
3,991 
11,748 
4,252 
6,699 
9,598 
8,439 
6,418 
7,261 
9,260 
9,860 
4,003 
7,422 
7,467 
9,079 
2,814 
9.6  8 
4,951 
4,582 
9,792 
2,551 
5,028 
7,935 
17,910 
7,751 
3,959 
10,065 
11,359 
7,393 
7,147 
3,939 
9,118 
5,064 
4,766 
16,650 
9,397 
6,267 
5,493 
4,333 
19,216 
1,451 
3,867 
5,458 
4,332 
3,208 
11,767 
18,816 
6,736 
5,849 
8,706 
3,878 
12,212 
4,811 
9,716 
19,325 
7,336 
2,947 
10,334 
9.152 

$      20,194 
31,961 
1,770 
6,279 
11,010 
12,448 
5,805 
60,372 
7,042 
24,953 
7,004 
14,107 
18,783 
11,029 
12,827 
19,917 
12,107 
11,995 
8,050 
19,805 
10,326 
27,288 
2,998 
17,686 
10,187 
9,939 
13,082 
4,515 
7,693 
18,138 
57,223 
10,606 
7,411 
14,730 
21,803 
9,980 
8,006 
10,970 
16,639 
8,423 
7,996 
38,422 
16,490 
15,908 
9,448 
6,904 
29,803 
4,652 
7,773 
6,146 
7,925 
5,095 
19,089 
51,892 
15,213 
10,457 
12,752 
6,171 
26,934 
•6,937 
18,5.50 
23,924 
15,704 
5,380 
25,525 
14.611 

$     4  17 
4  23 
5  23 
3  66 
3  34 
3  27 
2  81 
4  27 
3  03 
3  85 
2  50 
4  46 
2  98 
•      1  42 
3  36 
4  26 
3  75 
2  70 
4  14 
3  75 
6  04 
4  84 
2  20 
3  66 
3  42 
2  19 
3  38 
4  75 
2  52 
5  05 
5  04 
3  14 
2  93 
2  56 
3  94 
2  20 

3  61 
3  85 
3  68 
2  51 
.3  78 
3  90 
6  00 
3  3.5 
2  26 
2  26 
4  33 
S  40 
2  74 
3  66 
3  52 
2  43 
«  ,1S 
3  91 
3  06 
2  60 
3  30 
3  18 
2  96 
3  73 
2  57 
4  13 
3  97 
3  27 
3  9.R 

$    116,751 
86,995 
3,498 
20,356 
22,221 
41,220 
18,179 
14,187 

74  ',313 
20,294 
46,402 
38,313 
27,721 
31  ,020 
42,367 
51,648 
64,572 
28,357 
31,323 
49,269 
50,070 
15,315 
51,451 
23,008 
17,749 
48,175 
13,146 
21,811 
54,517 
102,272 
46,658 
19,662 
57,581 
74,193 
40,483 
35,705 
22,091 
54,722 
25,023 
15,690 
92,392 
43,770 
40,810 
34,608 
22,445 
.'0,275 
9,131 
20,340 
17,894 
22,016 
12,604 
62,229 
118,896 
33,767 
26,648 
34,384 
31,633 
54,674 
19,782 
58,852 
58,453 
32,490 
14,127 
48,282 
43  fiSfi 

$        6  65 
5  54 
6  70 
6  77 
4  76 
5  62 
4  88 
6  50 
6  08 
6  32 
4  77 
6  93 
3  99 
3  28 

4  as 

5  83 
5  58 

6  r>r. 

7  08 
4  62 
6  60 
.5  52 
f>    '.5 
5  33 
4  C6 
3  87 
4  92 
5  15 
4  33 
6  8S 
5  72 
6  (3 
4  96 
5  73 
653 
r>  47 
5  (0 
5  62 
6  00 
4  94 
S  29 
5  55 
4  66 
6  T2 
6  31 
.5  IS 
2  C2 
6  29 
5  25 
3  28 
5  08 
3  93 
5  29 
6  33 
5  CO 
4  56 
3  94 
8  16 
4  48 
4  11 
6  05 
3  03 
4  43 
4  79 
4  67 

4.   77 

Albemarle    -                         

Alexandria    -    -    --  --  

Alleghany  ______         

Amelia 

Amherst 

Appomattox 

Augusta 

Bath                             _    

Bedford    -    _-       

Bland 

Botetourt 

Brunswick 

Buchanan 

Buckingham 

Campbell 

Caroline    

Oarro'l    __  _    __    __  __  

Charles   City 

Charlotte  - 

Chesterfield   - 

Clarke    _-  

Craig 

Culpeper 

Cumberland    _ 

Dickenson 

Dinwiddie   _    — 

Elizabeth   City   —         

Essex 

Fairfax 

Fauquier 

Floyd    _    _    _ 

Fluvanna   _    _ 

Franklin   

Frederick 

Giles 

Gloucester 

Goochland    

Grayson    _ 

Greene 

Greensville 

Halifax   _.      

Hanover   _____    

Henrico 

Henry  _  _ 

Highland    

Isle  of  Wight  

James  City                   * 

King  George 

King  and  Queen  _ 

King  William  _  

Lancaster 

Lee 

Loudoun  _    

Louisa 

Lunenburg  

Madison    ^. 

Mathews 

Mecklenburg 

Middlesex   _  _ 

Montgomery  _    _. 

Nanspmond 

Nelson    

New  Kent 

Norfolk   _ 

Northampton  -. 

Appendix. 


249 


TABLE   V— HOGS— CONTINUED. 


COUNTIES 

NUMBER 

VALUE 

Asst.          Census 
1913              1910 

Asst. 
1913 
Total  Val 

Assessed 

Average 
Value 

Assessed 

Census 
1910 
Total  Val. 

Census 
Average 
Value 

Northumberland 

8,880 

3,069 
4,471 
4,535 
3,208 
8,047 
1,602 
3,278 
3,241 
4,945 
3,652 
5,494 
3,888 
2,824 
2,772 
6,844 
14,146 
8-,  661 
6,364 
9,812 
4,175 
18,516 
3.246 
1,858 
2,960 
4,475 
6,999 
1,603 
971 
6,019 
2,356 
5,177 
10,876 
1,563 

465,074 

5,133 
5,623 
8,732 
5,899 
6,177 
14,961 
3,852 
6,147 
6,426 
8,688 
6,476 
9,437 
7,445 
4,044 
5,663 
11,652 
20,982 
10,551 
11,496 
13,543 
8,573 
35,8^8 
6.684 
4,111 
10,209 
10,682 
8.818 
4,978 
1,783 
12.989 
4,9~2 
6,870 
13,248 
4,518 

834,672 

12 

99 
261 
1 
19 
2i 

Ir8 

2 
24 
29 
66 
3 
288 
31 
75 
220 

$      11,386 
10,016 
14,542 
14,035 
9,252 
26,232 
8,339 
11,234 
12,963 
14,545 
18,799 
16,544 
13,152 
8,404 
12,010 
24,  6  '0 
60,973 
21,174 
16,709 
46,397 
12,470 
52,999 
11.105 
7.524 
9,642 
14,735 
14,616 
4,526 
3,840 
18,230 
7,083 
14,946 
18,761 
4,945 

$1,581,641 

$  3  42 
3  26 
3  25 
3  10 
2  89 
2  25 
5  20 
3  48 
4  00 
2  94 
5  15 
3  01 
3  38 
2  98 
4  34 
3  60 
4  30 
2  43 
2  63 
4  72 
2  98 
2  86 
3  42 
4  05 
3  25 
3  30 
2  09 
2  82 
3  95 
3  03 
3  00 
2  88 
1  72 
3  16 

$      3  40 

$     25,860 
24,429 
46,401 
31,536 
41,099 
97,776 
20,723 
33,025 
28,236 
41,214 
42,103 

$       5  03 
4  35 
5  31 
5  8> 
666 
6  53 
5  33 
5  38 
4  40 
4  75 
6  50 
6  60 
5  20 
4  02 
8  00 
5  80 
6  86 
6  07 
5  77 
6  70 
6  10 
2  80 
3  52 
5  19 
2  T9 
3  88 
5  70 
5  FO 
5  12 
6  37 
3  73 
5  £2 
5  40 
4  08 

$        5  26 

Nottoway  _.  _    

Orange  _-  

Page 

Patrick 

Pittsylvania   

Powhatan    _    __  __  

Prince  Edward  _-  -- 

Prince  George  - 

Princess   Anne  -  _ 

Prince  William  

Pulaski 

Rappahannock    _    __  _ 

38,656 
16  2'2 
45,249 
67,617 
143,891 
63,998 
66,374 
90,634 
52  214 
100,230 
28  509 
21,343 
21,331 
41,423 
50,488 
27,384 
9,117 
82,744 
18,522 
37,974 
71,678 
18,432 

$4,389,567 

$            117 
989 
1,963 
6 
204 
132 
1,008 
15 
103 
193 
213 
10 
1.941 
126 
1,012 
1,402 

Richmond  - 

Roanoke   - 

Rockbridge 

Rockingham    

Russell 

Scott 

Shenandoah 

Smyth    _                                     r 

Southampton  __ 

Spotsvlvania 

Stafford    _ 

Surry    __  _ 

Sussex    

Tazewell    _  _ 

Warren    

Warwick   „__ 

Washington 

Westmoreland   _ 

Wise    

Wvthe    

York   

Totals    

CUTIES 
Alexandria  . 

^        9  85 
10  00 
7  50 
6  00 
10  73 
*  28 
6  33 
7  50 
4  28 
6  66 
3  28 
3  35 
6  75 
4  06 
13..rO 
6  38 

Bristol    _ 

Buena  Vista  

200 

$           620 

$      3  15 

Oharlottesville      .  _ 

Clifton   Forge 

Fredericksburg    _ 

49 

171 

3  49 

Lynchburg      __.    

Newrtort  News  - 

Norfolk    

Petersburg  _ 

4 

35 

8  75 

Portsmouth    

Radford    

227 

780 

3  44 

Richmond     __  _ 

Roanoke    _.  _ 

17 
61 
5 
5 
166 

180 
237 

10 
40 
513 

10  60 
4  65 
2  00 
8  00 
3  08 

Staunton    

Suffolk  

Williamsburg    
Winchester  

71 
350 

9'3 

2,484 

13  2S 
7  10 

Totals    

734 

1,734 

$        2,586 

$      3  53 

$      12,861 
$4,402,428 

$        7  40 

Totals  counties  and  cities.  - 

465,808 

836,406 

$1,584,227 

$      3  40 

*        52« 

250 


'Report  of  Committee  on  Tax  Revision. 
TABLE  VI.— FARM  MACHINERY. 

ASSESSED  AND  CENSUS  VALUE. 


COUNTIES 

Assessment 
1913. 

Census 
1910. 

COUNTIES 

Assessment 
1913. 

Census 
1910. 

n 

$          43  701  •  $ 

382  444    ! 

Norfolk  

$         41,855 

$          220,542: 

85  006 

413,739 

Northampton    

40,835 

205,364 

Alexandria 

2,000 

27,215 

Northumberland    

23,102 

125,248- 

10  644 

84  677 

Nottoway   

17,780 

118,232 

16  640 

109  852 

Orange   

31,584 

232,904 

13  946 

182  977    1 

Page    

26,266 

152,  382 

15  979 

128  087 

Patrick    

16,332 

1-13,462 

144  624  ' 

759,477 

Pittsylvania    

56,501  ! 

509,126 

Bath 

12  636 

71,694 

Powhatan  

16,966 

217,074 

Bedford 

52,765 

326,939 

Prince  Edward  

20,148 

128,060 

Bland 

8  4^1 

57,203 

Prince  George  

29,145  . 

128,844 

37  787 

255,280 

Princess    Anne   

30,181 

199,023 

24  819  ' 

154,828 

Prince   William   

49,546 

164,910 

1  786 

29,511 

Pulaski    

23,550 

143,608 

24  768  i 

152,422 

Rappahannock  

18,710 

131,176 

Campbell 

42  765 

210,897 

Richmond    

20,141 

70,817 

29  731 

222,038 

Roanoke    

82,752 

197,376 

Carroll 

18  515 

224,456 

Rockbridge    

59,639 

300,947 

Charles   City 

15  985 

68,649    I 

Rockingham    

144,310 

721,446 

Charlotte 

34  265 

155  536   ! 

Russell    

14,554 

132,809 

Chesterfield 

35  377 

216  095 

Scott 

21  825 

157  774 

Clarke 

36  520 

166,403 

Shenandoah  

87,275 

357,374 

Craig 

6  961 

76  133 

Smyth        

23,298 

174,391 

Culpeper 

35  755  ' 

254,522 

Southampton    ~ 

42,459 

212,920 

Cumberland 

18  058 

102  861 

Spotsylvania  —  _ 

30,239 

157,647 

3  280 

20  287 

Stafford  

16,500 

107,723 

Dinwiddie 

31,994 

206,551    I 

Surry  

11,892 

105,519 

Eli/abeth  City 

5  945 

45  278 

Sussex 

17  429 

162  198 

Essex 

16  457 

92,239 

Tazewell  

15,409 

116,263 

Fairfax 

56,346 

487,351 

Warren  

11,765 

104,223 

78  904 

409  269 

Warwick 

6  925 

34,555 

Floyd 

18  681 

161  405 

Washington 

27,399 

302,847 

15  276  ( 

95  331 

Westmoreland 

21  717 

94  747 

Franklin 

28  402 

274  253 

Wise 

3  490 

39  683 

Frederick 

52  856 

346  326 

Wythe  - 

32  862 

233,862 

Giles 

15  973 

104,387 

York 

10  453 

69,221 

21  578 

162  439 

19  255 

121  805 

Totals 

$    2  928  308 

$    18,095  868 

17  162 

191  823 

Greene  

13,071 

81,173 

CITIES 

Greensville      

10,220  ; 

82,643 

Halifax 

63,052  ' 

370,316 

Alexandria 

$             1,550 

Hanover 

36,303 

235,334 

Bristol 

205 

Henrico 

43,5"0 

299,864 

Buena  Vista 

$               155 

780 

Henry 

14,096 

12i,458 

Charlottesville 

55 

50 

Highland  -- 

19,170 

86,758 

i   Clifton  Forge 

Isle  of  Wight- 

41,429 

125,621 

1  Danville 

95 

880 

James   City 

12,948  i 

35,728 

Fredericksburg 

685 

King  George  _-  __  -- 

13,454  I 

97,731 

Lynchburg 

385 

King    and    Queen 

15,706 

87  275 

Newport  News 

50 

King  William  —    ... 

19,121 

82,578 

Norfolk 

190 

1,-(00 

Lancaster   -    __ 

11,862  ! 

68,546 

Petersburg 

300 

910 

Lee 

21  570  '• 

150  039 

60 

Loudoun    

123,386 

514,941 

Radford 

556 

7,313 

Louisa 

24  890 

174  939 

1  300 

Lunenburg    _  -  _ 

21,842 

127,271 

Roanoke 

75 

11 

Madison     

29,015  ! 

171,481 

Staunton 

1  183 

Mathews    —  

7,137 

105,809 

Suffolk 

55 

Mecklenburg    _ 

41,341 

199,162 

Williamsburg 

185 

1  040 

Middlesex    _  __ 

15,249  1 

100,587 

Winchester 

317 

2  958 

Montgomery    

21,711 

162,257 

Nansemond    — 

31,282 

199,955 

Totals 

$           2  728 

$           20  015 

Nelson 

21  621  i 

131  539 

New  Kent 

8  815 

47  860 

$    2  931  036 

$    18  115  883 

Appendix. 


251 


TABLE  VII.— PROPERTY  DIRECTLY  COMPARABLE. 

ASSESSED  AND  CENSUS  VALUE. 


COUNTIES 

Total  Enumerated  Items. 

Ratio  Ass'd 

to  Census 
Value 

Balance  Schedule  B. 

Asst.  1913 

Census  1910 

Asst.  1913 

Est'd  Trua 
Value  Based 
on  Same 
Ratio 

Accomac 

$       545,361 
849,535 
89,180 
209,191 
241,210 
322,435 
195,609 
1,663,981 
278,470 
859,856 
325,699 
452,954 
454,139 
166,185 
334,475 
521,545 
446,186 
358,760 
153,795 
442,162 
393,727 
455,945 
145,996 
573,241 
264,703 
220,474 
389,918 
93,900 
202,792 
619,135 
1,578  361 

$    1,490,633 
1,950,883 
292,484 
478,825 
497.354 
1,015,320 
479,831 
3,376,849 
536,523 
1,805,496 
558,377 
1,131,707 
757,524 
492,411 
724,864 
1,005,481 
1,001,307 
1,163,199 
334,296 
719,098 
854,049 
1,033,567 
466,724 
1,422,933 
485,451 
358,916 
832,080 
257,835 
497,145 
1,588,701 
2,713,144 
1,089,955 
457,470 
1,410,480 
1,608,898 
8'3,218 
636,533 
546,558 
1,381,977 
451,973 
360,769 
1,805,095 
982,164 
1,081,073 
653,791 
926,763 
547,844 
179,812 
497,496 
487,068 
492,170 
?90,183 
1,262,239 
2,961,057 
835,310 
637,989 
835,679 
361,297 
1,140,787 
376,959 
1,064,246 
809.958 

36.50 
43.40 
50.58 
43.70 
48.45 
31.78 
40.80 
49.30 
51.80 
47.65 
55.35 
40.00 
59.85 
33.72 
46.16 
51.83 
44.58 
30.88 
45.95 
61.60 
46.05 
44.12 
31.30 
40.20 
54.54 
61.40 
46.80 
36.40 
40.75 
38.92 
58.20 
42.40 
38.93 
32.50 
36.85 
35.25 
37.05 
47.70 
52.53 
43.05 
51.75 
49.75 
51.70 
50.30 
36.78 
35.90 
63.65 
60.35 
36.93 
44.95 
49.10 
54.66 
46.98 
60.80 
45.80 
49.20 
41.90 
27.72 
55.40 
43.60 
48.70 
45.20 

$        760,309 
542,451 
290,990 
601,215 
151,970 
208,  2  J2 
122,618 
766,047 
214,805 
477,249 
54,851 
364,573 
351  ,861 
287,108 
187,524 
540,314 
216,857 
131,673 
64,925 
291,818 
1,907,198 
210,970 
55,729 
265,136 
139,283 
138,915 
244,270 
831,480 
110,018 
545,705 
532,615 
105,856 
96,681 
182,416 
249,932 
234,657 
268,668 
100,790 
131,836 
63,364 
289,287 
1,049,594 
314,143 
1,161,940 
271,233 
106,301 
302,679 
88,322 
79,322 
118,610 
191,663 
592,145 
241,075 
674,456 
200,304 
244,073 
130,336 
163,449 
540,970 
220,323 
241,110 
391.  911 

$      2.0SO.OCO 
1,250,  COO 
952,500 
1,400,000 
313,900 
605,800 
300,  510 
1,555,000 
410,500 
1,002  ,(00 
99,  ICO 
91  2,  COO 
587,200 
830,  0:0 
405,800 

1,043,0:0 

487,  OCO 
426,500 
141,000 
473,500 
2,622,000 
478,1  TOO 
178,100 
659,500 
255,500 
225,900 
522,000 
2,  28;5,  000 
270,  COO 
1,404,000 
915,200 
219,500 
218,500 
561,200 
691.200 
606,000 
725,800 
2,114,0(0 
251,1(0 
147.200 
558,400 
2,108,0  0 
607,800 
2,312,000 
741,600 
296,5(0 
476,000 
146,400 
214,700 
263,  4CQ 
390,800 
1,083,500 
512,800 
1,107,000 
436,  SCO 
496,500 
310,800 
588,500 
976,200 
505,800 
495,000 
711  non 

Albemarle                            

Alexandria            

Alleghany              --  

Amherst 

Appomattox 

Augusta                  -  -- 

Bath 

Bedford    -  -    -    

Bland    --  -    -- 

Botetourt    -    -  

Brunswick   

Buchanan  

Buckingham 

Campbell 

Caroline 

Carroll 

Charles   City 

Charlotte 

Chesterfield 

Clarke 

Craig 

Culpeper 

Cumberland 

Dickenson    

Dinwiddie 

Elizabeth   City 

Essex     -    

Fairfax     __ 

Fauquier    _      

Floyd    --  

461,571 
178,140 
459,164 
581,325 
303,893 
235,967 
260,660 
726,084 
194,363 
186,803 
899,040 
507,847 
543,900 
238,798 
332,420 
348,063 
108,488 
183,868 
218,860 
241,736 
158,804 
592,683 
1,801,500 
382,711 
315,044 
350,486 
100,200 
632,136 
164,247 
518,491 
341.280 

Fluvanna 

Franklin 

Frederick 

Giles 

Gloucester 

Goochland 

Grayson    _ 

Greene 

Greensville    - 

Halifax  

Hanover 

Henry 

Highland 

Isle  of  Wight 

James  City  

King  George  _    _ 

King  and  Queen 

King   William 

Lancaster 

Lee 

Loudoun    _- 

Louisa 

Lunenburg 

Madison    _ 

Mathews    _-  _.  __ 

Mecklenburg 

Middlesex    - 

Montgomery    _.  

Nansemond     - 

Report  of  Committee  on  Tax  Uevixion.. 


TABLE  VII—  PROPERTY  DIRECTLY  COMPARABLE—  CONTINUED. 

COUNTIES 

Total  Enumerated  Items. 

Ratio  Ass'd 
to  Census 
Value 

Balance  Schedule  B. 

Asst.  1913 

| 
Census  1910 

Asst.  1913 

Est'd  True 
Value  Based 
on  Same 
Ratio 

Nelson  _.    

$        418,446 
117,200 
530,400 
397,362 
270,975 
218,371 
439,034 
374,104 
363,450 
762,610 
201,906 
278,201 
298,224 
304,908 
533,658 
492,436 
419,677 
196,873 
403,541 
756,164 
1,535,461 
789,432 
593,762 
950,180 
500,406 
622,752 
359,860 
255.270 
189,136 
290,188 
745,858 
154,645 
70,655 
663,034 
224,936 
340,662 
600,499 
115,100 

$        758,260 
248,819 
937,486 
788,532 
486,283 
550,938 
1,127,217 
740,676 
734,468 
2,074,699 
537,462 
635,614 
512,419 
546,060 
975,178 
1,129,671 
973,183 
329,114 
875,092 
1,571,231 
3,341,577 
1,629,485 
1,354,982 
1,762,428 
1,245,062 
827,709 
720,137 
500,228 
408,957 
643,786 
1,697,530 
664,260 
160,695 
2,039,348 
447,686 
623.221 
1,586,983 
279,022 

55.20 
47.12 
56.65 
50.44 
55.75 
45.05 
38.92 
50.50 
49.50 
36.70 
37.50 
43.75 
£8.25 
55.80 
54.67 
43.60 
43.10 
59.75 
46.05 
48.15 
45.87 
48.45 
43.75 
53.95 
40.15 
75.25 
49.97 
50.75 
46.20 
45.10 
43.90 
23.30 
43.93 
32.25 
50.25 
54.70 
37.90 
41.25 

$        249,794 
88,560 
2,226,795 
459,638 
779,107 
303,351 
240,377 
244,894 
143,523 
478,790 
91,894 
232,032 
184,411 
755,442 
338,141 
253,454 
123,403 
142,222 
580,:  26 
459,657 
806,096 
397,983 
178,877 
483,150 
221,434 
771,238 
150,123 
106,431 
208,166 
270,509 
330,812 
93,985 
116,665 
231,046 
150,523 
642,094 
300,761 
ir9,520 

!  $         452  500 
188,000 
3,  938,  (00 
911,000 
1,397,000 
673,5(K) 
6  17,  5(10 
485,  OCO 
290,  Of  0 
1,305,000 
244,800 
530.00:) 
316,5(0 
1,354,000 
618,200 
581,800 
286,8  0 
2,7,8  0 
1,262,00:) 
95',  500 
1,760,000 

S2i,r,o:> 

40S,5fO 
895.200 
550.FOO 
1,026,0  0 
302,600 
209,400 
450,500 
600,  000 
752,  30D 
40^,7"'0 

New  Kent        

Norfolk 

Northampton 

Northumberland    - 

Nottoway         

Orange 

Page 

Patrick 

Pittsylvania     

Powhatan    -    

Prince  Edward  

Prince  George  --  --  - 

Princoss  Anne 

Prince  William 

Pulaski 

Rappahannock 

Richmond    --  - 

Roanoke 

Rockbridge   

Rockingham 

Russell    _ 

Scott 

Shenandoah    __ 

Smyth    

Southampton    _ 

Spotsylvania 

Stafford    _ 

Surry   

Sussex 

Ta?ewell 

Warren    _ 

Warwick    

Washington    

716,000 
299,20) 

i,i74,oro 

795  O'O 
386  800 

Westmoreland 

Wise    

Wythe   - 

York    

Totals    

$  43,226,868 

$  93,815,376 

45.40 

$  33,881,034 

$    74,616,100 

CITIES 
Alexandria    - 

$          23,575 
14,363 
16.205 
38,555 
16,365 
87,397 
21,567 
110,661 
34,745 
137,310 
69,850 
58,730 
31,750 
288,040 
102,305 
JO,  582 
24,655 
11.268 
27,965 

$          57,872 
50,508 
37,544 
72  408 
30,258 
1^8.808 
50,614 
182,299 
P4.680 
322,733 
98,679 
113,148 
57,670 
636,660 
208,677 
106,492 

40.75 
27.45 
43  20 
53.25 
54.05 
55.10 
42.60 
63.97 
63  55 

$        234,902 
209,517 
237,701 
347,915 
169,511 
4,418,187 
213,684 
1,583,415 
645,075 
3,255.070 
2,619.690 
8'  5  008 
269.580 
7,181,611 
1,  -130  422 
471.571 
277.711 
76,030 
227,684 

$       5-7.0  o 

737,  TOO 
5  "0,500 
653,  fOO 
311,  0^0 
8  O'O  000 
W>l,r01 

Bristol     . 

Buena    Vista    

Charlottesville 

Clifton  Forge 

Danville    

Fredericksburg   _ 

Lynchburg 

Newport   News   _. 

1.015,500 
7  650,00) 
3  70".  00) 
I,627,0r0 
-489,500 
15  865  POO 
2,920.000 
1.097,  Of  0 
614  0"0 
107,500 
601,000 

Norfolk    . 

42.58 
70.80 
51.87 
55.10 
45.25 
49.00 
42.98 
45.20 
70.75 
37.90 

Petersburg 

Portsmouth 

Radford    

Richmond  _    _ 

Roanoke    _ 

Stannton    _ 

Suffolk     

Williamsburg 

15,934 
73,820 

Winchester    

Totals    -  

$    1,155,888 

$    2,328,804 

50.00 

$  24,714.31' 

$    49.  .5-0,  10') 

Total  counties  and  cities-. 

$  44,382,756 

$  96,144,180 

47.30 

$  58,595,348 

$  124,156,200 

Appendix. 


253 


TABLE  VIII.— ALL  TANGIBLE  PERSONAL  PROPERTY. 

TOTAL  ASSESSED  AND  ESTIMATED  TRUE  VALUE. 


COUNTIES 

Assessment 
1913. 

Estimated 
True 
Value. 

COUNTIES 

Assessment 
1913. 

Estimated 
True 
Value. 

$    1,305,670 
1,391,986 
380,170 
810,406 
393,180 
530,677 
318,227 
2,430,028 
493,365 
1,337,105 
380,550 
817,527 
806,000 
453,293 
521,999 
1,061,859 
663,043 
490,433 
218,720 
733,980 
1,600,920 
666,915 
201,725 
838,377 
403,986 
359,389 
634,188 
925,380 
312,810 
1,164,840 
2,110,976 
567,427 
274,821 
641,580 
831,257 
538,550 
504,635 
361,450 
857,920 
257,727 
476,090 
1,948,634 
821,990 
1,705,840 
510,031 
438,721 
650,742 
196,810 
263,190 
337,470 
433,399 
750,949 
833,758 
2,475,956 
583,015 
559,117 
480,822 
263,649 
1,173,106 
384,570 
759,601 
662,491 
668,240 
205,760 

$      3,570,633 
3,200,883 
1,244,984 
1,878,825 
811,254 
1,671,120 
780,331 
4,931,849 
947,023 
2,807,496 
657,477 
2,043,707 
1,314,724 
1,342,411 
1,130,664 
2,048,481 
1,488,307 
1,589,699 
475,296 
1,192,598 
3,476,0i9 
1,512,067 
644,824 
2,082,433 
740,951 
584,816 
1,354,080 
2,543,833 
767,145 
2,992,701 
3,628,344 
1,339,455 
705,970 
1,971,680 
2,300,Ot/8 
1,519,218 
1,362,333 
2,660,558 
1,633,077 
599,173 
919,169 
3,913,095 
1,589,964 
3,393,073 
1,395,391 
1,223,263 
1,023,844 
326,212 
712,196 
750,468 
882,970 
1,373,683 
1,775,039 
4,068,057 
1,272,110 
1,134,489 
1,146,479 
949,797 
2,116,987 
882,759 
1,559,246 
1,520,958 
1,210,760 
436,819 

Norfolk    

$    2,757,195 
857,000 
1,050,082 
551,722 
679,411 
618,998 
506,973 
1,241,400 
293,800 
510,233 
482,635 
1,060,350 
871,799 
745,890 
543,080 
339,095 
984,067 
1,215,821 
2,341,557 
1,187,415 
772,639 
1,433,330 
721,840 
1,394,050 
509,983 
361,701 
397,302 
560,697 
1,076,670 
248,630 
187,320 
894,080 
375,459 
982,756 
901,260 
274,620 

$      4,875,486 
1,699,532 
1,883,283 
1,224,498 
1,744,717 
1,225,676 
1,024,468 
3,379,699 
782,262 
1,165,614 
828,919 
1,900,060 
1,593,378 
1,711,471 
1,259,983 
566,914 
2,137,092 
2,525,731 
5,101,577 
2,450,985 
1,763,482 
2,657,628 
1,795,562 
1,853,709 
1,022,737 
709,628 
859,457 
1,243,786 
2,449,830 
1,067,960 
425,695 
2,755,348 
746,886 
1,797,221 
2,381,983 
665,822 

Northampton    _-  

Northumberland    
Nottoway    --  

Amelia                            ' 

Orange    -    --    

Pago 

Patrick 

Pittsylvania     
Powhatan  

Bath 

Bedford 

Prince  Edward  

Prince   George     

Botetourt    -         

Princess  Anne  --  

Brunswick  _           

Prince  William  

Buchanan 

Pulaski   —    

Buckingham 

Rappahannock   __  

Campbell 

Carroll 

Rockbridge 

Charles  City 

Rockingham 

Charlotte 

Russell 

Chesterfield 

Scott 

Clarke 

Shenandoah 

Craig 

Smyth 

Southampton 

Spotsylvania 

Stafford 

Dinwiddie 

Surry 

Elizabeth   City 

Sussex  -_  

Essex 

Tazewell   

Fairfax 

Warren  

FauQuier 

Warwick    

Floyd 

Washington  

Fluvanna 

Westmoreland    

Franklin 

Wise  

Frederick 

Wythe    

Giles 

York    _         

Totals 

Goochland 

$  77,107,902 

$  168,431,476 

CITIES 
Alexandria 

Greene 

$        258,477 
?23,880 
253,906 
386,500 
1^5,876 
4,505,584 

$          634,872 
788,108 
588,044 
725,408 
344,258 
8,198,808 
552,114 
2,657,299 
1,070,180 
7,972,733 
3,803,679 
1,740,148 
547,170 
16,501,660 
3,128,677 
1,203,492 
614,000 
123,434 
674,820 

Green  sville 

Halifax 

Hanover 

Bristol 

Henrico 

Buena  Vista 

Henry 

Charlottesville 

Highland 

Clifton  Forge 

[sle  of  Wight 

Danville 

James   City 

Fredericksburg 

235,251 
1,694,076 
679,820 
3,392,380 
2,689,540 
903,738 
301,330 
7,469,651 
1,532,727 
512.153 
302.366 
87,298 
255,649 

King   George 

Lynchburg    _ 

King   and   Queen  
King   William 

Newport  News 

Norfolk 

Lancaster   _ 

Petersburg 

Lee              —        -    - 

Portsmouth 

Loudoun 

Radford 

Louisa    -  -    ------ 

Richmond 

Lunenburg    _    --  

Roanoke    _ 

Madison   _         __    _ 

Staunton 

Mathews    -      -  - 

Suffolk 

Mecklenburg      

Williamsburg    

Middlesex    _-  --    

Winchester    __  _-  __ 

Totals  

Nansemond    -  

$  25,870,202 

$    51,868,904 

Nelson 

Total  co's  and  cities- 

New   Kent 

$102,978,104 

$  220  300  380 

254: 


Report  of  Committee  on  Tax  Revision. 


TABLE  IX.—  INSURANCE  TAXES 

FOB  THE  YEAR  1913. 


FIRE  AND  MARINE  COMPANIES. 

« 

CO 

S 

if 

f 

Municipal  licenses,  fees 
and  taxes  paid 

2 

X 

"o 

Per  cent,  taxes  to  pre- 
mium income 

Aachen  and  Munich  Fire  Ins    Co 

$         951  46 

$         945  67 

$      1,897  13 

498 

Aetna  Insurance  Co 

3  140  40 

1  568  34 

4  708  74 

2Q9 

Agricultural  Ins     Co 

906  48 

989  91 

1  896  39 

5  56 

American   Central   Ins     Co 

1  095  41 

1,656  99 

2  752  40 

4  72 

American    Ins     Co 

924  99 

1,162  51 

2  087  50 

5  23 

Atlas  Assurance  Co.,    Ltd  

Boston   Insurance   Co 

857  51 
588  47 

1,012  29 
175  00 

1,869  80 
763  47 

5.86 
5  07 

British  American  Assurance  Co.  —  

Caledonian   Insurance  Co                -    

427  71 
572  39 

469  88 
722  53 

897  59 
1,294  92 

3.37 
7.53 

693  21 

895  14 

1,588  35 

5  54 

806  16 

772  78 

1,578  94 

4  64 

Citizens  Insurance  Company  of  Missouri  
Columbia    Insurance    Co                         -    -    -- 

1,174  45 
320  00 

1,202  24 

2,376  69 

320  00 

6.02 
26.21 

296  85 

296  85 

4.92 

Commercial  Unioo  Assurance  Co  ,   Ltd--  

1,839  52 

1,344  38 

3,183  90 

3.84 

Commonwealth  Insurance  Company  of  N.  Y. 

360  56 
1,150  99 

418  25 
1,111  49 

77881 
2,262  48 

7.35 
4.47 

Continental  Insurance  Co 

2,468  40 

1,610  19 

4,078  59 

4.02 

County  Fire  Insurance  Co.  of  Philadelphia-- 
Detroit National  Fire  Insurance  Co 

305  40 
271  84 

356  25 
121  25 

661  65 
393  09 

6.85 
9.56 

Dixie  Fire  Insurance  Co     _         

924  76 

1,008  58 

1,933  34 

6.43 

Eastern  Shore  of  Va.  Fire  Ins.  Co.,  Inc  
Equitable  Fire  Insurance  Co 

716  83 
758  55 

31  14 
1,064  89 

747  97 
1,823  44 

2.02 
6.32 

Equitable  Fire  and  Marine  Insurance  Co  
Fidelity-Phoenix  Fire  Ins.  Co.  of  New  York- 
Fire  Association  of  Philadelphia 

399  85 
1,900  89 
1,613  72 

593  35 
1,403  88 
1,640  32 

993  20 
3,304  77 
3,254  04 

6.38 
3.70 
4.98 

Fireman's  Fund  Insurance  Co 

2,471  46 

1,510  16 

3,981  62 

3.52 

First  National  Fire  Ins.   Co.  of  the  U.  S  — 
Franklin  Fire  Insurance  Co.  of  Philadelphia- 
Georgia  Home  Insurance  Co  

312  10 
559  04 
1,073  65 

144  75 
694  42 
1,345  53 

456  85 
1,253  46 
2,419  18 

3.81 
6.75 
5.98 

German  Alliance   Insurance  Co  

525  57 

1,247  51 

1,773  08 

17.75 

German  American  Insurance  Co 

3,957  87 

2,130  09 

6  087  96 

2  72 

German   Fire  Insurance  Co      _    _    

400  54 

120  44 

520  98 

6  87 

Germania   Fire  Insurance  Co  

1,461  15 

1,497  14 

2  958  29 

4  85 

Girard  Fire  and  Marine  Insurance  Co  

894  30 

1,096  36 

1  990  66 

5  21 

Glens  Falls  Insurance  Co 

989  18 

1  172  72  i 

2  161  90 

6  17 

Globe  and  Rutgers  Fire  Insurance  Co 

1  235  03 

961  35  ! 

2  196  40 

3  18 

Granite  State  Fire  Insurance  Co  

507  78  i 

782  76  > 

1  2^0  54 

7  11 

Hamberg-Bremen  Fire  Insurance  Co  

1,663  96 

1  462  47 

3  126  43 

4,59 

Hanover  Fire  Insurance  Co  

1  155  52  I 

1  175  87 

2  331  39 

6  13 

Hartford   Fire   Insurance   Co__  

4,978  77  | 

3  110  11  ' 

8  088  88 

3  11 

Home  Fire  Insurance  Corporation  of  Va  
Home    Insurance   Co  

627  62  i 
4  155  84 

379  18 
2  255  11 

1,006  80 

4.25 

Insurance  Company  of  North  America 

l'777  73 

1  692  18 

Insurance  Co.  of  the  State  of  Pennsylvania- 
Liverpool  and  London  and  Globe  Ins.  Co  
London   Assurance  Corporation 

918  57 
4,189  48  | 
1  019  92 

820  30 
2,051  35 
1  086  45 

1,738  87 
6,240  83 

5.9) 
3.01 

London  and  Lancashire  Fire  Insurance  Co- 
Lumberman's  Marine  Insurance  Co  
Maryland  Motor  Car  and  Insurance  Co  
Milwaukee  Mechanics  Insurance  Co 

820  49 
347  27 
463  73 
1  144  31 

840  92  ! 
100  50 
236  51  ; 

1,661  41 

447  77 
700  27 

5.08 
5.27 
4.48 

Mutual  Assurance  Society  of  Virginia 

2  288  43 

3  339  63  • 

5.07 

Mutual  Fire  Ins.  Co.  of  Loudoun  County 
National  Fire  Ins.  Co.  of  Hartford  . 

838  20 
1  911  91 

433  35 
1    fiQ7  tt 

1,271  55 

2  09 

National  Union  Fire  Insurance  Co 

1  363  51 

National  Fire  Insurance  Co  

498  71 

5  .  07 

Newark   Fire   Insurance   Co- 

439  53 

6.08 

New  Brunswick  Fire  Insurance  Co 

Kffr  -ii 

2.94 

New  Hampshire  Fire  Insurance  Co 

1  019  28 

1,027  11 

5.67 

Niagara  Fire  Insurance  Co. 

827  14 

2,218  66 

5.01 

North  British  and  Mercantile  Insurance  Co 

1,517  80 

1,242  74 

1,947  86 
2,760  54 

4.87 
3.97 

Appendix. 


255 


,  TABLE  IX— INSURANCE  TAXES— CONTINUED. 


3 

I 

1 

OQ 

13 

+j 

g  a 

S  S 

FIRE  AND  MARINE  COMPANIES. 

2| 

i 

3| 

Sg 

"3  os                  S 

"S   Q 

St** 
11 

1 

"a  S 
§1 

t->  = 

North  Carolina  Home  Insurance  Co 

North  River   Insurance   Co 

Northern  Assurance  Co.,   Ltd 

Northern  Neck  Mutual  Fire  Asso.  of  Virginia 

Northwestern  National  Insurance  Co 

Norwich  Union  Fire  Insurance  Soc.,  Ltd 

Orient   Insurance  Co 

Palatine  Insurance  Co.,  Ltd 

Pennsylvania  Fire  Insurance  Co 

People's  National  Fire  Insurance  Co 

Petersburg  Savings  and  Insurance  Co 

Phoenix  Assurance  Co.,   Ltd 

Phoenix   Insurance  Co 

Providence  Washington  Insurance  Co 

Queen  Insurance  Co.  of  America 

Rhode  Island  Insurance  Co 

Royal  Exchange  Assurance 

Royal  Insurance  Company,   Ltd 

Scottish  Union  and  National  Insurance  Co 

Security  Insurance  Co.  of  New  Haven 

Southern    Underwriters    

Springfield  Fire  and  Marine  Co 

St.  Paul  Fire  and  Marine  Insurance  Co 

Standard  Marine  Insurance  Co.,   Ltd 

Sterling  Fire  Insurance  Co 

Subscribers  at  U.  S.   "Lloyds" 

Sun   Insurance  Company  Office _ 

Union   Fire  Insurance  Office 

United  States  Fire  Insurance  Co 

Virginia  Fire  and  Marine  Insurance  Co 

Westchester  Fire  Insurance  Co 

Western  Assurance  Co 

Williamsburg  City  Fire  Insurance  Co 


422  38 

1,034  79 

1,298  87 

533  99 

599  68 

980  85 

593  89 

767  17 

1,343  03 

495  14 

1,436  55 

1,380  97 

1,808  82 

852  82 

1,324  03 

535  58 

1,571  82 

2,83i  04 

1,104  09 

978  72 

920  98 

2,964  84 

1,106  15 

1,132  33 


566  14 

657  02 

1,119  70 


Totals 


391  78 

273  99 

990  54 

520  41 

522  41 

6,605  55 

1,147  57 

840  93 

913  72 


584  78 

1.212  62 
847  32 
907  64 

1,144  S3 

471  01 

S30  10 

1,009  53 

1,188  47 

843  48 

1,386  31 

572  70 

1,517  06 

1,531  18 

1,327  12 

1.213  60 
fi46  17 

1,566  49 
728  68 


$  114,617  75 


1,217  61 
569  79 


5,714  42 

1,264  96 

841  96 


$    96,866  55 


988  52 
1,691  81 
2,418  57 

533  99 
1,184  46 
2,193  47 
1,441  21 
1,674  81 
2,487  36 

966  15 
2,366  65 
2,390  50 
2,997  29 
1,696  30 
2,710  34 
1,108  28 
3,088  88 
4,365  22 
2,431  21 
2,192  32 
1,567  15 
4,531  33 
1,834  83 
1,132  33 
1,018  61 

273  99 
2,208  15 
1,090  20 

522  41 
12,319  97 
2,412  53 
1,682  89 
1,707  34 


$  211,484  30 


7.14 
4.49 
4.15 
1.82 
9.36 
5.31 
9.07 
5.64 
4.21 
7.58 
3.72 
4.12 
3.08 
2.84 
5.31 
6.83 
4.88 
2.98 
5.09 
5.63 
3.48 
3.25 
5.02 
7.25 
7.16 
18.45 
5.63 
6.95 
3.21 
4.70 
4.53 
5.45 
5.99 

4.25 


256 


Report  of  Committee  on  Tax  Revision. 


,  TABLE  IX — INSURANCE   TAXES — CONTINUED. 


LIFE  INSURANCE  COMPANIES 

5 

£ 

5« 
si 

ealo 

ftja 

£ 
P 

Municipal  licenses,  fees 
and  taxes  paid 

2 
£ 

-M 

1 

EH 

Percentage  of  taxes  to 
premium  income 

Aetna  Life  Insurance"  Co               -       -  -  

$      1,864  44 

$         255  00 

$      2,119  44 

1  93 

1  413  50 

1  413  50 

4  61 

5  661  26 

5  368  39 

11  029  65 

2  58 

Connecticut  Mutual  Life  Insurance  Co  

445  29 

130  75 

576  04 

3  09 

Equitable  Life  Assurance  Society  of  U.  S  
Fidelity  Mutual  Life  Insurance  Co 

11,751  01 
1,997  17 

1,59698 
205  00 

13,347  99 

2  202  17 

1.58 
1  76 

838  53 

100  00 

938  53 

2  22 

1,529  51 

371  00 

1,900  51 

2  01 

Jefferson  Standard  Life  Insurance  Oo    

472  73 

472  73 

1  12 

Life  Insurance  Company  of  Virginia  

17,011  10 

10,644  14 

27,655  24 

2  74 

Maryland  Life  Insurance  Oo.  of  Baltimore-- 
Massachusetts Mutual  Life  Insurance  Co.  — 

1,287  91 
4,249  18 
17  925  53 

512  00 
793  35 
2  541  11 

1,799  91 
5,042  53 
20  466  64 

1.88 
1.67 
1  55 

Missouri  State  Life  Insurance  Co 

618  35 

52  90 

671  25 

2  57 

Mutual  Benefit  Life  Insurance  Co 

7,449  28 

1,363  86 

8  813  14 

1  68 

Mutual  Life  Insurance  Company  of  New  York 
National  Life  Insurance  Oo 

11,341  41 
1,637  92 

1,060  15 
456  50 

12,401  56 
2  094  42 

1.48 
1  88 

New  England  Mutual  Life  Insurance  Co- 

551  51 

290  50 

842  01 

3  82 

New  York  Life  Insurance  Co-       _    _    _ 

9,320  57 

1,221  25 

10  541  82 

1  65 

Northwestern  Mutual  Life  Insurance  Oo  

11,454  73 

1,442  40 

12  897  13 

1  67 

Pacific  Mutual  Life  Ins.  Co.   of  California- 
Pan-American   Life  Insurance  Co 

497  73 
437  00 

663  97 
250  25 

1,161  70 
687  25 

3.55 

59  70 

Penn  Mutual  Life  Insurance  Co 

4  324  39 

615  25 

4  939  64 

1  71 

Philadelphia   Life  Insurance  Oo 

169  17 

169  17 

7  71 

Phoenix  Mutual  Life  Insurance  Oo  
Pittsburg  Life  and  Trust  Co  

Provident  Life  and  Trust  Co.  of  Philadelphia 
Prudential  Insurance  Co.  of  America.-  _ 

780  26 
956  44 
2,032  81 
3,192  89 

230  00 
97  50 
870  75 
1  398  21 

1,010  26 
1,053  94 
2,903  56 
4  591  10 

2.23 
2.27 
1.88 
2  07 

Reliance   L*fe   Insurance  Co  

918  60 

381  00 

1  299  60 

2  37 

Reserve  Loan  Life  Insurance  Co  

453  96 

5  00 

458  96 

2  28 

Security  Life  Insurance  Co.  of  America  
Southern  Life  and  Trust  Co 

681  87 
396  89 

227  75 
91  25 

909  62 
488  14 

?.71 
2  37 

State   Life  Insurance   Co- 

897  05 

249  00 

1  146  05 

2  38 

Sun  Life  Assurance  Company  of  Canada  
Union  Central  Life  Insurance  Co  

Union  Mutual  Life  Insurance  Co__ 

1,665  49 
6,523  48 
1,398  62 

667  50 
1,106  15 
387  04 

2,332  99 
7,629  63 
1  785  66 

2.02 
1.67 
2  22 

Totals    - 

$  134  147  58 

$    35  645  90 

$16Q  7Q'4  48 

Appendix. 


257 


,   TABLE   IX—  INSURANCE   TAXES—  CONTINUED. 


CASUALTY,   FIDELITY  AND  MISCEL- 
LANEOUS COMPANIES 

33 
Is 

CS 

If 

"0*0 

Municipal  licenses,  fees 
and  taxes  paid 

1 

'a 
~o 

Percentage  of  Taxes 
to  premium  income 

Aetna  Accident  and  Liability  Co 

$          450  66 

$         143  19 

$          593  81 

3  84 

Aetna  Life  Insurance  Co                --  --    -  -- 

1,409  83 

1  409  83 

1  62 

American  Credit-Indemnity  Co.   of  New  York 
American  Security  Company  of  New  York  
Appomattox   Casualty   Co.,    Inc_    __      _    __ 

;!08  77 
1,233  98 
630  17 

100  00 
453  00 
14  58 

608  77 
1,686  98 
644  75 

5.66 
4.37 
2  gg 

Continental   Casualty   Co                  _      _      _  - 

2,383  15 

464  82 

2,847  97 

2  37 

Employers'   Liability  Assurance  Corporation. 
Fidelity  and  Casualty  Co.  of  New  York  
Fidelity  and  Deposit  Co.   of  Maryland--  

979  73 
2,279  37 
1,462  67 

218  25 
929  10 
667  49 

1,197  98 
3,208  47 
2,130  16 

2.78 
2.68 
2  49 

General  Accident,  Fire  and  Life  Assur.  Corp. 
Globe   Indemnity   Co  

1,276  02 
404  98 

326  25 
218  25 

1,602  27 
623  23 

2.71 
3  13 

Guarantee  Company  of  North  America-- 

364 20 

364  20 

5  51 

Hartford  Steam  Boiler  Inspec'n  and  Ins  Co_ 
Illinois  Surety   Co 

632  36 
234  95 

172  03 
5  00 

804  39 
239  95 

4.37 
8  02 

Kentucky  Live  Stock  Insurance  Co  -    - 

442  40 

442  40 

5  33 

Lloyds  Plate  Glass  Insurance  Co_  _    _ 

319  31 

71  25 

390  56 

11  73 

London  Guarantee  and  Accident  Co      Ltd 

494  62 

494  62 

6  28 

Maryland   Casualty   Co  —  _  _    —  __ 

2,236  87 

551  76 

2  788  63 

2  2? 

Masonic  Protective  Association  

166  67 

166  67 

4  90< 

National  Life  and    Accident  Insurance  Co__ 

400  20 

400  20 

4  28  •• 

National   Surety   Co  —  __ 

1,068  36 

446  25 

1  516  61 

4  69* 

New  York  Plate  Glass  Insurance  Co  -  -    

3  6  07 

102  75 

458  89 

9  05 

Ocean  Accident  and  Guarantee  Corp.,   Ltd  
Pacific  Mutual  Insurance  Co.   of  California  - 

1,221  02 
403  02 

433  25 

1,654  27 

403  0%. 

2.63-. 
1  34 

Philadelphia   Life  Insurance  Co    

159  50 

159  50 

Provident  Life  and  Accident  Insurance  Com- 
panv    of    Chattanooga 

1  399  66 

58  85 

1  <*58  51 

1     Vi 

Ridgely   Protective   Association 

116  67 

116  67 

OK  o  or> 

Royal   Indemnity   Co  _  _ 

592  00 

352  35 

944  35 

o   07- 

Standard  Accident  Insurance  Co 

6J2  85 

64  75 

707  60 

q  40. 

Travelers'    Insurance   Co  

5  736  98 

966  73 

6  703  71 

1    Q3' 

United  States  Casualty  Co  

694  93 

25  PQ 

720  43 

1   87 

United  States  Fidelity  and  Guaranty  Co  

1,833  46 

937  01 

2,770  47 

a.oa 

Totals        

$    32  535  43 

$7  799  41 

' 

.  .._ 

2.56 

INDUSTRIAL  SICK  BENEFIT  COMPANIES 
American  Beneficial  Insurance  Co  

$          970  42 

Home  Beneficial  Association 

4  799  33 

Mutual  Insurance  Co.   of  Richmond,  Va  
National  Insurance  Co.   of  Virginia 

795  61 

649  52 

2  94 

8,805  39 
798  55 

1.23 
.65 

Peninsular  Casualty  Co    

581  87 

694  52 

.81 

People's  Mutual  Benefit  Insurance  Co 

645  40 

581  87 

2.06 

Provident  Relief  Asso.  of  Washington,  D.  C 
Richmond  Beneficial  Insurance  Co 

1,918  14 
1  218  67 

5  00 

755  40 
1,923  14 

.87 
.61 

Southern  Aid  Society  of  Virginia,   Inc.- 
Southern  Mutual  Aid  Asscwiafir  n. 
Virginia  Beneficial  Insurance  Co.  ,   Inc 

I,c94  76 
529  91 

1,594  76 
1,361  60 

.61 
.60 
.54 

Totals  

' 

•  ._, 



$    19,249  12 

.85 

17-TC 


258 


Report  of  Committee  on  Tax  Revision. 


TABLE  X.— INSURANCE  TAXATION. 


FIRE  AND  MARINE  COMPANIES 

Premhrro  Income.                   Admitted  Assets. 

Total 

Virginia             Total 

Real  Estate 

^Aachen  and  Munich  Fire  Insurance  Co  
-Aetna    Insurance    Co                     --  --  -  

$    1,252,184 
9,948,471 
1,700,810 
3,400,143 
4,210,348 
1,725,124 
3,228,129 
1,097,703 
1,419,644 
1,578,274 
528,381 
457,952 
366,770 
110,147 
4,725,717 
873,449 
3,888,022 
8,095,893 
369,836 
132,512 
442,835 
37,088 
133,122 
343,229 
6,289,890 
4,258,129 
7,462,947 
404,978 
1,403,791 
304,320 
628,327 
9,069,134 
200,307 
2,978,178 
815,376 
2,217,163 
4,452,098 
617,  7?0 
1,299,915 
2,528,857 
16,454,395 
23,673 
14,603,435 
9,394,123 
2,145,936 
8,908,995 
2,638,900 
2,711,700 
8,666 
161,918 
2,003,152 
65,540 
60,838 
8,454,041 
2,702,2f»6 
271,194 
938,  ,r93 
545,970 
2,422,091 
3,201,841 
5,186,048 
114,712 
1,640,770 
2,730,793 
29,301 
2,711,008 
1,713.746 
1,627,747 
1,767,861 

$          38,037 
160,646 
34,119 
58,301 
39,955 
31,820 
15,024 
26,659 
17,205 
28,699 
34,250 
39,429 
1,221 
6,034 
82,894 
10,583 
50,584 
118,887 
9,663 
4,105 
30,052 
37,088 
28,837 
15,540 
89,345 
65,346 
113,241 
12,006 
18,553 
40,491 
9,996 
223,690 
7,586 
60,995 
38,323 
35,053 
68,898 
18,151 
68,072 
38,014 
2>9,664 
23,673 
223,809 
87,862 
29,451 
207,043 
43,074 
32,676 
8,666 
15,681 
45,575 
65,540 
60.838 
108,112 
58,^31 
14,315 
B0,15£ 
18,104 
44,235 
39,954 
69.521  , 
13,836 
37,757 
58,1-12 
29,301 
12,639 
41,269 
15,889 
29.691 

$    2,589,572 
22,481,250 
4,302,768 
5,413,219 
10,004,903 
2,867,750 
6,381,742 
1,889,181 
2,2'0,445 
3,056,406 
1,739,997 
810,840 
973,680 
759,187 
7,441,934 
2,633,267 
6,761,549 
27,628,477 
1,158,072 
£86,634 
1,071,241 
103,346 
401,741 
960,526 
14,958,098 
9,154,808 
9,864,872 
1,630,980 
3,245,736 
713,138 
1,846,013 
21,724.918 
1,489,678 
7,260,197 
2,532,070 
5,525,539 
8,020,276 
1,198,826 
1,944,015 
4,743,233 
26,525,974 
71,337 
33,139,916 
17.880,122  ; 
4,006,653 
14,263,847  i 
3  814  383  ! 

$    627,207  93 
35,832  51 

493,000  00 
83,878  81 
393,197  69 

Atlas  Assurance  Co.,   Ltd  

Boston    Insurance    Co 

British  American   Assurance  Co  

Caledonian    Insurance    Co 

439,510  58 
105,036  19 

Camden    Fire  Insurance  Association 

Citizens   Fire  Insurance  Co 

Citi/ons  Insurance  Co     of  Missouri-.  _- 

Columbia  Insurance  Co           __  

Commercial  Fire  Insurance  Co.  of  D.  C-- 
Commercial  Union  Assurance  Co.,   Ltd  — 
Commonwealth  Ins.   Co.   of  New  York  — 

350,000  00 
698,163  62 

Connecticut    Fire   Insurance   Co 

3,250  00 
1,175,000  00 
55,0^7  18 

^Continental   Insurance    Co 

•County  Fire  Ins.  Co.  of  Philadelphia  
Ttetroit  National  Fire  Insurance  Co  

Dixie  Fire   Insurance   Co                   __  - 

112,500  00 
1,500  00 
15,582  93 
101,180  00 
572,500  00 
737,162  67 
473,442  39 
350,000  00 
146,444  r-3 
60,000  00 

Eastern  Shore  of  Va     Fire  Ins.   Co_    _ 

l^Quitable  Fire  Insurance   Co.-    _  __  __ 

^Equitable  Fire  and  Marine  Insurance  Co_. 
Fidelity-Phoenix  Fire  Ins.  Co.  of  N.  ¥_.. 
Fire  Association  of  Philadelphia 

Fireman's  Fund  Insurance  Co 

First  National  Fire  Ins.  Co.  of  U.  8  
Franklin  Ffre  Ins.  Co.  of  Philadelphia— 
Georgia  Home  Insurance  Co 

German  Alliance   Insurance  Co-  

German  American  Insurance  Co 

2,678,347  74 

German   Fire  Insurance  Co  

Germania   Fire  Insurance   Co.  

750,000  00 
211,497  32 
218,4(8  43 
72,915  00 
46,954  28 

Girard  Fire  and  Marine  Insurance  Co  
Glens  Falls  Insurance  Co 

Globe  and  Rutgers  Fire  Insurance  Co  
Granite  State  Fire   Insurance   Co__  ..  .. 

Hamberg-Bremen  Fire  Insurance  Co  

Hanover  Fire  Insurance  Co 

907,956  00 
734,219  58 

Hartford  Fire  Insurance  Co 

Home  Fire  Insurance  Cor.  of  Virginia  

Home  Insurance  Co  

Insurance  Co     of  North  America 

235,3  X)  00 
413,753  49 
1,2  8,191  85 

Insurance  Co.   of  State  of  Pennsylvania- 
Liverpool  and  London  and  Globe  Ins.  Co. 
London  Assurance   Corporation  * 

London  and  Lancashire  Fire  Ins.  Co  
Lumberman's  Marine  Insurance  Co  

4,871,204 
61,271  ; 
431,882 
4,436,716 
2,449,178 
70,171 
15,485,762 
4,683,605 
708,202 
2,009,893 
1,046.932 
6,250.527 
6  916  922 

300,000  00 

Maryland  Motor  Car  Insurance  Co  

Milwaukee  Mechanics   Insurance  Co  
Mutual  Assurance  Society  of  Virginia  
Mutual  Fire  Ins.  Co.  of  Loudoun  County 
National  Fire  Insurance  Co.   of  Hartfcrd 
National  Union  Fire  Insurance  Co  
National   Fire  Insurance  Co  

52.825  00 
867,934  00 
3.300  00 
597;  364  24 
30,654  40 

Newark   Fire   Insurance   Co 

1  -15,523  21 
132,362  00 
95,000  00 

New  Brunswick  Fire  Insurance  Co  
New  Hampshire  Fire  Insurance  Co 

Niagara    Fire   Insurance    Co  

North  British  and  Mer.   Insurance  Co  
North  Carolina  Home  Insurance  Co  
North  River  Insurance  Co 

8,787,206 
432,332 
2,733,108 
5,137,850 
12,533 
6,644,768 
3,013,723  i 
3,487,488 
3.199.623 



Northern    Assurance    Co.,    Ltd  

115,000  00 

Northern  Neck  Mutual  Fire  Asso.  of  Va_. 
Northwestern  National   Insurance  Co  
Norwich   Union   Fire  Insurance  Society 

178,000  CO 

Orient   Insurance    Co 

167,  C86  38 

Palatine  Insurance  Co.,   Ltd—  - 

Appendix. 


259 


TABLE  X—  INSURANCE  TAXATION—  CONTINUED. 

Premium  Income. 

Admitted  Assets. 

FIRE;  AND  MARINE  COMPANIES 

Total 

Virginia 

Total 

Real  E'statet 

Pennsylvania    Fire  Insurance   Co 

$    3,444,, 
785,  ( 
117  / 
2,418,* 
5,799,f 

>63 
)27 
24 
21 
28 
71 
50 
40 
46 
52 
93 
52 
55 
18 
55 
90 
26 
73 
74 
62 
35 
08 
11 
58 
15 

1 
i  $          59,082 
12,762 
63,703 
57,893 
97,373 
59,709 
51,115 
16,205 
63,184 
146,581 
47,703 
38,968 
44,966 
139,636 
36,546 
15,604 
14,206 
1,485 
39,277 
15,687 
16,251 
261,911 
53,251 
30,874 
28,470 

$    8,002,962 
1,870,816 
3,286,800 
3,890,965 
14,568,056 
4,928,081 
9,980,013 
1,359,103 
2,887,993 
12,599,303 
5,954,448 
4,104,636 
386,734 
10,943,903 
9,464,890 
1,113,704 
1,607,020 
1,242,172 
4,866,148 
951,323 
1,196,263 
1,780,007 
5,218,654 
2,578,165 
4,872,223 

$    189,377  07 
72,399  10 
60,992  05 

People's  National  Fire  Insurance  Co 

Petersourg  Savings  and  Insurance  Co. 
Phoenix  Assurance  Co.,   Ltd  _-  _  - 

— 

Phoenix   Insurance   Co  _  _. 

119,635  64 

Providence   Washington   Insurance  Co. 

— 

3,603,e 
4,968,7 
590,7 
8,235,£ 
1,956,S 
2,265,2 
2,119,2 
108,7 
5,743,1 
6,109,8 
841,7 
424,6 
1,316,6 
2,766,8 

Queen  Insurance  Co.   of  America  

Rhode  Island  Insurance  Co  

Royal    Exchange    Assurance  

Royal  Insurance  Company,    Ltd  

4,348,500  00 
250,564  10 
239,218  25 

Scottish  Union  and  National  Ins.    Co  
Security  Insurance  Co.  of  New  Haven  
Southern    Underwriters      _____    _    ___ 

Springfield  Fire  and  Marine  Insurance  Co. 
St.  Paul  Fire  and  Marine  Insurance  Co_- 
Standard  Marine  Insurance  Co.,  Ltd  
Sterling  Fire  Insurance  Co 

300,000  00 
254,580  84 

Subscribers  at  U    S     "Lloyds" 

Sun  Insurance  Office 

171,925  04 

Union  Fire  Insurance  Co     Office- 

390,7 
780,1 
742,1 
3,231,5 
1,582,7 
2,580,5 

United  States  Fire  Insurance  Co- 

Virginia  Fire  and  Marine  Insurance  Co_~ 
Westchester  Fire  Insurance  Co 

118,  458  44 
5,876  00 

Western  Assurance   Co 

Williamsburg  City  Fire  Insurance   Co  
Totals 

107,373  70 

$253,065,003 

$    4,984,824  ' 

$512,347,634 

$23,481,575  27 

LIFE  INSURANCE  COMPANIES 

4.etna   Life  Insurance  Co 

$ 

12,024,878 
30,631 
751,541 
7,003,525 
55,141,610 
4,871,542 
6,177,392 
4,088,092 
1,388,393 
3,344.495 
385,509 
10,881  ,233 
97,214,702 
2,801,731 
23,936,471 
57,954,050 
6,893,199 
9,091,420 
89,627,788 
45,583,284 
5,416,597 
429,967 
21,634,929 
868,383 
5,734,288 
2,941,759 

$        109,802  i  $ 
30,631 
444,264  i 
18,603  : 
845,819  1 
125,080 
42,269 
94,451 
42,110  ' 
1,008,233 
95,582 
301,157 
1,320,125 
26,057  i 
525,843  i 
831,249 
111,009 
22,000 
638,964 
771,593 
32,707 
1,151 
288,947 
2,194 
43,333 
46,345 
154,414  | 
222,076 
54,699 
.  20,151 
33,477 
20,605 
47,999 
115,271 
457,963 
80,226 

104,850,675 
98,756 
2,204,635 
68,914,653 
525,345,619 
28,896,393 
49,748,862 
29,181,999 
4,629,928 
9,749,372 
8,460,068 
73,723,812 
447,829,229 
9,032,737 
166,142,214 
607,057,045 
58,941,982 
66,168,703 
748,497,740 
310,556,962 
27,140,597 
2,030,6-3 
142,461,658 
3,708,129 
36,166,310 
23,810,617 
80,776,359 
322,769,320 
4,255,991 
3  050,597  i 

$          557,453 

Appalachian   Insurance  Co 

Atlantic  Life  Insurance  Co    _-    

3,674 
3,063,651 
16,541,021 
1,330,169 
4,800,241 
1,450,000 
51,912 
484,730 
2<2,5!)0 
961,500 
21,728,740 

Connecticut  Mutual  Life  Insurance  Co-- 
Equitable  Life  Assurance  Society-    --  _ 

Fidelity  Mutual  Life  Insurance  Co 

Home  Life  Insurance   Co__  --  _    

Jefferson  Standtrd  Life  Insurance  Co  — 
Life  Insurance  Company  of  Virginia.,. 
Maryland  Life  Ins.  Co.  of  Baltimore-- 
Massachusetts Mutual   Life  Ins.    Co  
Metropolitan  Life  Insurance  Co 

Missouri  State  Life  Insurance  Co  

Mutual  Benefit  Life  Insurance  Co 

3,184,836 
23,548.627 
210,000 
1,897,295 
9.196,.r8f> 
3  77-5.720 
1,  09  1,  2.37 
45  000 
2,822,945 
86,088 
695,550 
5,101,589 
1,321,706 
17,992,882 
160,098 

Mutual  Life  Ins.   Co.  of  New  York  
National  Life  Insurance  Co  

New  England  Mutual  Life  Insurance  Co_ 
New  York  Life  Insurance  Co 

Northwestern  Mutual  Life  Ins.  Co  _ 

Pacific  Life  Insurance  Co.  of  California 
Pan-American  Life  Insurance  Co 

Penn  Mutual  Life  Insurance  Co  _  - 

Philadelphia    Life  Insurance   Co 

Phoenix  Mutual  Life  Insurance  Co 

Pittsburg  Life  and  Trust  Co_    _ 

Provident  Life  and  Trust  Co.  of  Phila- 
Prudential  Insurance  Co.  of  America  — 
Reliance  Life  Insurance  Co      __  __  __ 

10,349,120 
81,109,006 
1,502,210 
794,207 
543,531 
307,  L18 
2,445,087 
10,  -992,  883 
12,774,517 
2,369,850 

Reserve  Loan  Life  Insurance  Co__.._ 

Security  Life  Insurance  Co.  of  America- 
Southern  Life  and  Trust  Co  

2,132,962 
1,510,585 
13,396,699 
55,726,347 
99,100,689 
18,150,712 

5,fO) 
111,199 
1,  COS,  088 
1,367,457 
3,497,841 
958,6r3 

State  Life  Insurance  Co 

Sun  Life  Insurance  Co.   of  Canada  
Union  Central  Life  Insurance  Co 

Union  Mutual  Life  Insurance  Co 

Totals 

99,494,978 

$ 

9,026,399     $4 

151,265,604 

?  132,341,997 

260 


Report  of  Committee  on  Tax  Revision. 


TABLE  X— INSURANCE  TAXATION— CONTINUED. 


CASUALTY,  FIDELITY  AND  MISCEL- 
LANEOUS COMPANIES 


Premium  Income 


Total 


Virginia 


Admitted  Assets 
Total          Real  Estate 


Aetna  Accident  and  Liability  Co  

$    1,373,127 

$          15,446 

$    3,083,698 

7,594,507 

86,926 

9,106,323 

$          9  618  93 

American  Credit-Indemnity  Co.  of  N.  Y_ 

715,351 

10,745 

1,216,347 

3,070,761 

38,558 

8  871  339 

3  480  000  00 

Appomattox   Casualty   Co.,    Inc  

23,766 

21,619 

28,026 

3,345,328 

119,895 

2,003,575 

35  000  00 

Employers'  Liability  Ass'ce  Corp.,   Ltd— 

6,151,052 

43,150 

7,318,463 

Fidelity  and  Casualty  Co.  of  New  York_ 
Fidelity  and  Deposit  Co.  of  Maryland-- 
General Accident,  Fire  and  Life  Assurance 

8,589,461 
6,664,897 

4,126,501 

119,755 
85,363 

59,515 

11,063,357 
11,241,268 

2,867,458 

1,393,893  45 
2,549,827  83 

213  160  58 

Globe  Indemnity   Co     -             

2,987,722 

19,913 

3,260,421 

Guarantee  Co     of  North  America.-  

215,394 

6,609 

1,840,954 

213  19Q  86 

Hartford  Steam  Boiler  Inspection  and  In- 
surance  Co.      --       -         

1,614,155 

18,369 

5,412,496 

90  300  00 

Illinois  Surety  Co  

395,002 

2,990 

896,217 

Kentucky  Live  Stock  Insurance  Co  

78,  in 

8,294 

268,205 

94,000  00 

Lloyd's  Plate  Glass  Insurance  Co 

569,801 

3,330 

910  057 

255  763  18 

London  Guaranty  and  Accident  Co.,  Ltd- 
Maryland   Casualty   Co                *  '  " 

3,966,076 
6,185,482 

7,869 
125  478 

4,030,415 
6  628  777 

1  254~087~79 

Masonic   Protective  Association  

447,391 

3,400 

427,334 

National  Life  and  Accident  Insurance  Co- 
National  Surety  Co- 

2,823,924 
3,113,508 

9,341 
32,278 

1,141,739 
7  159  259 

71,326  59 
193  306  99 

New  York  Plate  Glass  Insurance  Co_ 

953,569 

5,062 

953  569 

Ocean  Accident  and  Guarantee  Corp.,  Ltd 
Pacific  Mutual  Life  Ins.  Co.  of  California 

4,306,421 
2,004,983 

63,004 
30,159 

4,882,372 
2,197,554 



Philadelphia  Life  Insurance  Co  

247,134 

4,856 

Provident    Life    and    Accident    Insurance 
Company   of   Chattanooga--    

282,673 

107,496 

234  271 

Ridgely  Protective  Association  

398,889 

46 

415  845 

Royal    Indemnity    Co  

2,794,755 

28,005 

3  514  126 

Standard  Accident  Insurance  Co  __ 

3,159,250 

20,678 

4  457  338 

Travelers'   Insurance   Co_    _ 

22  532  882 

346  747 

87  767  387 

2  240  050  00 

United  States  Casualty  Co- 

1  898  671 

38  511 

2  668  088 

4  500  00 

United  States  Fidelity  and  Guaranty  Co.. 

6,296,725 

91,242 

7,701,075 

609,400  00 

Totals  

$108  927  329 

$    1  574  649 

$203  569  353 

*\L2  707  426  20 

INDUSTRIAL  SICK  BENEFIT 
COMPANIES 

American  Benefit  Insurance  Co 

$•        121  613 

$        121  292 

Home  Beneficial  Association- 

1  497  316 

718  912 

Mutual  Insurance  Co.  of  Richmond,  Va__ 

123,609 

123,609 

15,659 

National  Insurance  Co.  of  Virginia,  Inc 

86,015 

86,015 

11,726 

Peninsular   Casualty   Co  

395,293 

28  219 

275  093 

People's  Mutual  Benefit  Insurance  Co  
Provident  Relief  Association  of  Washing- 
ton, D.  C.  

301,881 
414  292 

87,081 

0117     (W-1 

51,139 

15,737  10 

Richmond  Beneficial  Insurance  Co 

212  688 

201  923 

59  927 

Southern  Aid  Society  of  Virginia,  Inc.. 
Southern  Mutual  Aid  Association 

267,110 
471,735 

267,110 
252  404 

174,402 
39  726 

101,978  30 

Virginia  Beneficial  and  Ins.  Co.,  Inc..  

52,082 

52,082 

29,647 

11,945  14 

Totals  

$    3  943  634 

Appendix.  261 


TABLE  XI.— TAXATION  OF  BANKS. 

Ratio  of  total  taxes  now  levied  to  the  book  value  of  stocks  less 

real  estate  $  1  53 

Ratio  of  proposed  tax  to  the  value  of  stock  less  real  estate 135 

Total  proposed  reduction    73,494  43 

Ratio  of  earnings  to  book  value  of  stock  less  real  estate  (reported 

by  198  banks)    10  07 

Ratio  of  present  tax  to  earnings 15  40 

Ratio  of  proposed  tax  to  earnings 1340 


He  port  of  Committee  on  Tax  Revision. 


00  '001$ 


CO  t^  CO         »P  CO  $P         O         00         rH  O         <NQ         IQ         Is-         <M         CO 
B  5  3          M  28  C          10          ^5          OiCO          COfi^          CO          OS          r-          1-1 


1s-          rH 

CO  OS 


OO^OO 

«5  te  8      Q 

-^  1C  CO         rH 


88 


t^m 

CO  rH 


CO  O         N         O 

irj  i-H        OS        00 

SS  5  2 


8    S 


§g 


rH  O  i-l 

oo  o  J>- 

S  3  g 

r-i  <M  i- 


CO          L-7          CO 


OM 


SS9[ 


jo 


I 


s°  w>s.. 


oc8«0'5      X  c  z  c,   .  a-g-^  «' 
Ig^lilgllllgl^B1 

els 


^s-H^g-  >!«, 

!(^^ 


rH         «  rH 


Appendix. 


263 


in      o  m      co      <N      or. 
I-H      mco      o      to      co 


co      <M       o      o  so 
c-i       r-i       i—  i      t~  oo 


8    88 

m       r—  in 

2    §83 


SSS 


O  in          rH          rH 


CO          O          rH  r-l          Ol          O 
CO          rH          CO  00          i-H          in 

in      oo       in  r-      t-      cj 


rH          LO 


OiC^l 


a  5 


o       in       o      £~ 

S          rH          U3          C01 


So  o  m  oo  o      o 

co  in  -*  in  10      co 

O  O  CO  T<  C}  CO 

CO  t-  CO  rH  rH 


0         O 

4>»          C5 


IM  01 

r-l  t^ 


O        <M         O  Q        00        CO 

in      CD      ui  o      ^      5* 


CO  1^  rH  i 

r^       N       (MI 


fr!     *? 

cT     cT 


PQ 

i 

c 

M 

;  | 

1 

g 

_  T 

<to   C 

l« 

MH  Rj 
-B 

S  — 

X!   rX 

!3§ 


P|!jj!<!|5IJ 

es       S       s  cs       §       §      fi 
PH      O      Qfs      ft      B      <5 


fl 
ti  ° 

C3  ^-j 

»« 

a^ 
££ 

c3  "3. 
it;  o 

££ 


264 


Report  of  Committee  on  Tax  Revision. 


00  '001$ 


in      Jo      in  8      -^ 


pjBd  ^riBnjoB  IB;OX 


••ft-CjqQrHgiGO-'ti 

t~         rH         rH         in         rH         IP  r-         rH 


PQ 


S§    8    8 


Sin        i      kn< 
<N         '      to  i 

00         O  1-^1 

O' 


$  g 


g    §8 


§8    S    S    i 


CO          rH 

CO          rH 


in  rH 


IB9I   SS8I 

•j[00is  jo  eniBA  j[oog 


in      o  in      o      m      oo 

00         rH  -*          CO          rH         $3 


i-H          O          rH  i 


fco 


o>      a>OT 


Appendix. 


•SS    g 


ig    5    S    8S63S    S    8    88    § 


rH         C<1         i—  I 


M  t-  < 
Oi  O  i 


2    8    8g££8    g    §    5 


S    83 


3    8 


gg 


SS 


888 


!$       g 
I  01        <M 


M         rH 

oo 


fe        g 

S  S 


$    8 


. 


3     £2     £     8 


18*          S 


TOrH         ^O         IO 
lOi-H         01         rH 


t 
1 

1 

a 

K 

s 

1116 

C3 

iVN 

C3 

C 
C 

^   R         03         £5        «*H 

(-H 

^ 

PQ 

*""* 

c  o      "3      s      o 

»—  ( 

JH 

S    •*  S     *®     ^       'aSo 

-sit  s  i  isi  § 

03        Dac«         2.rM.O«o3 

H*J^'9«S*«w       S 

.OG-^J^gg.goS                 C 

w    i     sj     c 

1  1  lil« 
ItfSi'gs-Ss 

- 


'*"'  O   O         ^   ^ 
Q  "J  O         PQ  r^ 


JfeSo  gg£^« 

5|^S|Isl 

5       «       H  P  *  .* 


206 


Report  of  Committee  on  Tax  Revision. 


I-H       c5       o      oo  in  55       3      eo       o       o      i^O       o       m  ,~       oo       as       Ss  3  5- 

00  '001$  JOd 

. 

S8'i$  IB  XB;  pasodojj 

» 

PJBd    -^IlBn^OB    IBJOJ, 

§     §    3    22  8  £     §§    S     8     §     8g     2     88     3     £3     S3  8  8. 

10      O      oo       co  i>  10       Oi      co       ^       c<i       tr  ^       ^       Oi»^S       v^       o       SP^c  ?3' 

i 

888    8S8                8    S    SS    8       S    §    8    SSS 

£ 

5 

R 



1 

M 

i 

I 

Oi^lOlrt                                irtO              OlO                                       lOOOO 
01        M  O9  04                                ^1>              lot-                                      00<M(M(>J 

rH  r-(  r-t 

0 

0 

H 
OQ 

3888883           8SSS            SS     S     8       ! 

$3 

O 

{>          U5          O         00  rH  in          rH                        COO5O5I>                        fOOOI-             1 
"^JOCOOO^rHO^                        OCO^X                        QOOCO              1 

p 

e 

i 

£ 

525 

i 

H 
5 

1 

5 

S    £    SS3                SS8              8          Sii^ 

h 

P3 

rH                          rH  rH  rH                                                                                                                      rH 

at 

H 

"O 

"ft 

c^ 

CO          ^         CO^W          O          Oi          rH          O          ^S          ^          [SS5         m          ^         *>^^"1 

5 

B 

Zr-          Ml          O5C<io          rH          CO         !>•          Cf;          OS^          ^O          OUin         rH          OQ          rH^  OO- 

E"( 

a 

Sc 

1 

(f 

*- 

1 

oo       o       oot^rH       to      r^       ^ji       o       eo«o       m       c-,  o       o       S       cooso 

'^[DO^S  jo  anjBA  5[oog 

c 

7— 

8    S    JSgfe    S    S    S    S    iS8    ft    S?S    -    S    g§82 

«^ 

. 

1 

II                                 j  j  j 

!                                 I  c  til 

0 

1 

a 

a,2     -^     P     t!            ^  I      &     -,'a     'G      £     "c  «"§ 

«  „  j||  §  °  «      |§  !  u^j  «  §  iii 

jS^'i^a            rXpq         SE^ 

§ 

*-  °  §  -1«  «  «  S^M  1°  s  "sf  J  5ii|° 

3 

fe  P5         5S     .  r3j  -2  .2   o        H^'  ^   ^   ®  .s*  P)  ^   C  f§   rt  £2  tS               03  rr-  ^5        •§     "  •*-  "-"   C  CS 

lii«lWilK  !!iiIifi!|i«Pii!liil 

8lSS3ii*|i«|l|l|lall|l™IIElgl|il||l 

fn      Cu      CQ      ErtS      i§      (S      »2      (S      fi^E      S      £:u      S      ^      rR  fc!  »2 

Appendix. 


267 


is   88 


5    g    3 

00          rH          rH 


11 


gq£ 

eo<N  IH 


O  O  00  OO  •** 

00  K  rH  «  S 

S  o  ^5  t>  oo 

rH  00  CO  CO  CO 


5£    33    §    S 


CO  rH  rH          <N  CN  rH 


§53    88    S    g    8$ 

Oi  t~        1C  in        CD        00      "CN  LO 
-*CD         r-i  CM         CO         i-H         rHrH 

r-T  i-Tr-T 

o 

! 

£ 

g 

I 

|£ 

1 

SO        0                    10 
O         O                     CM 

rH  rH          rH                       CM 

in 

a 

jn 

8 

g!3    88    S    S    8S    S 

CD  CD          HH  t—         Ci         rH         t~  CO          CN 

CO  t~          C2-*          rH          O          CM  00          C 

a 

ec 

S 

!CNI  lO  i>»  00  ^  M<  "^ 
co  o^  F»c5uS  i> 

i>-  I>-  rH  1>-  t'-  OO  O 

S      & 

co      •* 

S     g 

1^ 

S 

rH          M 

S    8g 

1 

00                                10              c 

in  io                       o          c? 

rH 

10 

o 

rH 

! 

S   g 

g 

c^ 

I-H 

£ 
£ 

COt-         rH  O         rH          O         CD  IO          K7 

!CO-t<         OCO5         CO         OO         CNIlN          OC 
S5S     ^d     ™     S     3S     « 

!OO 
CO 

S 

S 

III  III  I 

1  - 

3 
S 

1  1 

S3 

S 

S 

c^ 

8    8    SS    S    M 
3     S     SS5     S     §8 


00          rH          rH 


S     £3 


r 

c 

1 

£ 

~ 

c 

^ 

^t 

r^ 

^ 

_y 

c 

CJ 

S 

J 

r 

.  £ 

£ 

| 

ft 

1 

jc 

S1*: 

i 

j 

1 

t> 

TD 

j 

_C 
£ 

S 

1 

^ 
c 
i 

E 

c; 
C 

_c 
^ 

S 
^ 

| 

1 

1 
c 

c 
z. 

, 

A 

•  ^ 

>< 

c 

"« 

w 

?e! 

c 
PQ 

"3 
a 
o 

W      PQ     pq      M 


ww   -,  .   ,  ^   r* 

^2   Oi  w   c  P*> 

^     R     ^          «*HrX     £     ^ 

°oO§££|o 
^•^t3Wp,^^ 

C3 

pq 


J 

O£H      pq      «      ri| 


Irvington. 
Lancaster  N 


268 


Report  of  Committee  on  Tax  Revision. 


00  '001$ 


<M  rj  eo  •*       so       •*  o       N 
co  ooeto      So      t-<N      ri 


C-r-          rH 


pjed 


8    8    5    8    §8    S 

s  s  i  a  i  i 


IO         CO  C5 
t-         lOi-H 


M 


t^d 

OOr-l 


8    SS    8888    §8 


i-llfj 

«O  us 


o 

a 


53  3  S  i 


2           § 

€6 

H                 ° 

1 

S          1 

ICO^S^1^               ^^^**^ 

SS    ^55^53    88 

a 

S 

8    %    S    it    S     So^SS    E 

S3     SS35S    SS    5 

C-j                t** 

€ 

S    8    e    8    5     3$83    S 

|S     |S|§    g^    5 

1  1 

^ 

C 

1  8  §  S  §  2311  § 

SI  iiSS  El  i 

8^BJS9  IB9I  SS9I 

* 

S          CO         §3          U5          rH          5rHCOrH         S 

w<o     gg5^=2     gS     S 

'jpoijs  jo  ann?A  j[oog 

ff 

* 

1 

M 

PH 
0 

n 

W 

d 

bo 

a  « 

.S 

SB 

J5 

fiq                    ^        _^              OT 

i 

S 

s 

Ivanhoe. 

1  1  i  1  «•  Jlli  1 

'bUiBJiH"*!!*! 

?°3'^S15l«g0^^'3^|^s^ 

•.      a      a      a     f      a      a  S  -~  1     * 

,5   fl         CJ-O^OS         o>2         4 

^  la|!!  g|  e 

llil|ll  !||| 
j§  *>  °  5  *  ^^  a  i* 

lil'i^iplF 

BflS««fs3Bafl 

OdS        o3c3.Z5q>        o3c3        c 

pq     pq 


pq     pqpq 


Appendix. 


269 


coco  -*T-* 


S    3    88 

88    §8    § 


LO  O  HH  O  CO          CO          O 

rH          rH         t-         CO  rn          CO          O 

?o      P      92      n<co      co      09 


§  05  55  °0  05  £j 

C5  CO  O  t~  O  00  O 

t-  O  rH  r-t  CO  1C  I>- 

t--  CO  LO  CO  t^  O5  00 

r-T  CO  SO  in"  rH  tH* 


10    05  CO    CO    00  CO 
**    CO  t-    rH    00  CO 


rH      •<*      co      CM      c 

-*          in          CO          IO         rH 


S3     §33 


IO  t-    CM  -*  CO  LO  O 

CO   *#  Ci 

t~   eo  co 

CM  CO 

8 

p 

M  ^ 

8- 

§ 

0  j*  ^  rH  05 

CO  CO    kO  ub  iO  uS  05 

g   %% 

gg 

%% 

88 

g 

8    8 


IO         rH  GO         CO         GO          LO         CM 

8-e!  5  3  3 .£ 


8    83    IS 

co      cx>      co 


00  r-        S        CM§        CO        O 

cc  eo      o      o  co      co      -* 

^s   s   as   -*   •* 


t-  l>         -*  CM  C 

gS     $££ 


OOO         O         O5         i^t)         Ci         O         CO         (M         COO 

00*^"      cc"      co       c^      oT      co       01"      o"      oco" 


S     g2     S3 


rH         8S         S         & 


Luray. 

^ 

c 
c 

p: 
!• 

ij 
s£ 

!i 

^  < 

0    t 

i  c 
<P 

!    i    S    i 

ril 

C 

£ 

!i 

s.s 

;t 

;J 

?s 

3 

! 

c 

£ 

o  p 
CQ  C 

^2 
s 

Narrows. 
First  State  Bank  of  Narrows-— 

i  i  i  i 

AforxAoJl. 

TWoroVioll  Xratinnal  TlfinV 

Lynchburg. 
First  National  Bank  

Lynchburg  National  Bank  

Lynchburg  Trust  and  Savings  Co  
Mutual  Savings  Bank  and  Trust  Co. 

•Pannlac  KTntirmnl 

I 

T 

:      ^ 

i      * 

3   giii 
<   g   J 

j'|P 

h 

•i  o 

Manossas. 
National  Bank  of  Manassas  
Marion. 

TRanV  nf  Marinn 

C3 

PQ 

.1/onfvaZe. 
Bedford  County  Bank,  The  
Mt.  Jackson. 
Mt.  Jackson  National  Bank  

"Ppnnl  P<J  T5  a  n  V 

Martinsville. 
First  National  Bank  
Peoples  National  Bank  
McKenny. 
Bank  of  Dinwiddie,  The— 
Meadow  View. 

rrV,a  r»nnnttr  Rant 

Meherrin. 
Prince  Edward-Lunenburg  C 
Melfa. 
Mftlfa  Bankine  Co..  The.. 

TJ 

i    -3  J  i 

w  -a  w  gw 
1  «  s  w-  I 

|'S   5  I  .g-g  .| 

5d   -5    .^S^O'sS'i 
SNw3S|^»P 

•>*oo        n  M  «*  w       ^s  «i- 

IS^'g  nilgai6 

^§^^^^2!^^ 

§    §    £    S3    £ 

270 


Report  of  Committee  on  Tax  Revision. 


TABLE  XI—  TAXATION  OF  BANKS—  CONTINUED. 

00  '001$  Jad 
SS'li  ^B  XBJ  pasodoj^ 

^          .-i      -r      o       o      oo  si  so  -n  IB  o  ir>       co       ITS      cq-^gOrH-^ocMino^c 

'1 

8II«  gg5^!3  1  1  l^lslsglsll! 

rH                NCM                                            r-CCCOrHNi-l-*—  <                <MO 

pjBd  AnetnoB  IB^OX 

s  5  1  5  1S-1P  1  1  *«i«!SiS!i!! 

. 

CO 

5 

N 

o 

0 

i 

o 

Q 

2 

i 

MUNICIPAL 

Amount 

8                §88S^8i§                8SS8S§SS88ScS§ 

§s 

-1  •* 

r-i               r-ICM                                        r-((NeMr-(eMiM               r 

IS 
§ 

8»O  10  lO  'O  IO  l^  >O                                  O  O  O  O  O  O  O  O  ^  ^  O  C 
<N  <M  oq  (N  cq  <N  <M                       co  x  oo  oo  oo  oo  0606  oo  06  oo  o 

§8 

» 

COUNTY 

Amount 

w^co       !!           i            SS       !!!!!!! 

1 

R        CM         rH                                                           CO         (M                   1            1            1      1             i 

1       II                  1  1     1     i  i 

1 
M 

a   §   s    i  i       i        s   eg     :  i  i  i 

ill           !!!!!! 

STATE 

Actually  p'd 

Of                                  T-^U-^                           T-T 

9JB;  89   [U9J   SSO[ 
'JPOJS    JO    3UIB1    3[00g 

s  |  1  8  8§§lilS  §  1  llS^lllPJliil 

,  .  ,  s  ...a.r  .  s  i-.-Mi«-5B.M 

LOCATION-NAME  OF  BANK 

• 

1            MiM:  I 

Virginia  National  Bank  _..| 

i  l!li 

;     ^                      d       i    !  .S   '  ^ 

1        i  i      •;,  |              I  |  js  |1 
w    o   ^         :                    a    H    ^  i  !   o 

I  a  1      leS         1  «  Idi-sS 

I    i    f                                      B     3     J     S 
83     ^     a     P^S153         W   -W  SB      S      >     ^03     ^M^PHO^S^O 
<«°i         Ml^^S-S-S     -5      S     cS     £*      oo^^g"0^ 

illill^!^l|llssi|d  |lg^«s!||||i 

|^5*§aigt||«>||mS'olJz;|5z!*!25|(§S«55|!S|(2a 
I'sl®lil|lgl0l*iifi®|<st®fl§«isiaa85l 

!^«S$M^l^j|^jli«§3j^Ms|M|MB§|i-8-9S£?fi 

III!  gllilll  1  1 

Appendix. 


271 


i  l«          O          OS 

:&    §8    S 


rH  OS  I"  O          CO 

oo  o  to  o      co 


O          O  rH  t~ 


CSOS          3          rH          CO         OO  t~-  <M 


:§?33 


8  83& 


§3  S  8S  S 


T|H  CO   00    10 

rH~       Co""*"'*' 


t-  <M  Irt          OS  •**          -H< 


CO          10          GO 
"*         <M         00 


S     3     S    S    3 


(M         GO  Oi  CO  W 

^p      00  QO  S  ^ 
c<r  co"  r-T  in 


-t<         O         IQ 
OO          O          CO 


8    §£ 

CO          35  C5 


'£    2    8    S    S5    8    35    S    $    Si    SS1S 


CO         00         O         «, 
rH         SO         CO         °0  I 


COO 


ee  *  38  g  s  3  |gg§  s/a  s  gs  g 


if! 

V 

a 

1    « 

"S  w  K"  '     i 

H          !     3   1 

H 

2   -a    c 

"^S        £H  <l>  ^  c3        a 

s 

h       «  d 

"d 

§ 

^3 

0      |      0 

a      i 

,!  ^:fl  g 

a 

sd  s         p^  « 

•S3     s  ^      g     fiW     03 

3-3.  S  t.g  «  -is'^  l^i^is^lfll  s  L-aslisllii  ^§«l 

^cssv      Qj-iiC      ^3      -wos             •Ke3^-O<»xa®       KOScjiCt;         ;      sF^S^flO^o^'-'S       a  3  •*»  ^ 

rfl«ja!  *§s  j^«i3j^aiaifi5sl««BfilfKsK3aiftjWBa;i|ls. 

ota^-,&*H      ^°«S5      ^     «^.«^  u  ^•Sts^'wS®  ?  c^  ^      •ifc.'O**^      <**«•§,         ts-2i;W^-2z3 

rll^^I^iilslhflll^rilllll^Pl^ir^r'^lliill 
^as»«»'g««oi'5p«-l'i-P*s|£'l«-|*l§i^'a«-'aK|'£flsfi'H*sii|S'2l 

.^03         03         rt        iJ          C3        g  a        ^         StS        .3         03         S         gc3"S.^         03         03         03         S3  .%         cScS.fcjS         §  "3 

<^^     fq     pq     ^     ^     OP5     oj     <jfx,     PH     W     PH     <J^PL,^     pq     pq     ^     pq  ^     pq  pq  p^  g     JJj£j     f. 

Report  of  Committee  on  Tax  Revision. 


00  '001$  Jad 
98'  1$  $t»  XBJ  pasodojjj 


piBd 


T-I      oo 
o      w 


S    fc     S 

TH  CO 


e^co"csf  eo"          co  cJ"  I-H  <N"  co  <M"  irT  co  eo"  t-^      in'oo"'*" 


COr-T        r-T  Oo"  •*"  in"  t-T  IO~  r-T  r-T        r-TeNTeo" 


jo  aniBA  3iooa 


s 

I  « 

'>      ,M 


a  - 


83      5 

PQ     w 


BScaS^jo.^^^SiKH^.—  •—   !  S  a  £ 


w          -a  s 


Appendix. 


73 


S    8    S    S 


[fssssag 

Pci     o<o 


g    £    3    8    S    S    S 

ift          SO         "^          1C         CO          T-H          O 

B  $  s  s  £  ss  s 


£238    23    fe  '  S 

COrHCO         rH  3i         CO     •    rH 


t-      eoo-'fi-icocooo      1-1      55 

00        J-4  O  H  r-l  25  •*  85  f-        •*        O 


o      oi      oo      21 

rH        1>-        ^        rH 


S  SSSi 


•«n      es  oo  go      M      o 

O         O  rH  S         rH          •«* 
t-         N  iH  00         CO 


>*  CO          rH  10 


2S    23 


53    88 

oira      -H  o 


8    SS    S88 

rH  iH  T-t  iH 


15    8 


8    S    fc    S  '88 

?s  §  a  s  •  gg 


§    S 


S3     83 


c 
C 

c 

A: 

c 

C3 

r* 

1 

6 

2 
.1 

2 

2 

r 

E- 

T: 
c 
ec 

A 

C 

a 

ty 

c 
S 

1 

1 

"S 
c 

& 

« 

£ 

c. 
X 

c 

1  bj 
c 

i 

K 

- 

'i 

1 

i 

's'l 

IS 

^ 

(E 

1 

1* 
^£ 

i 

c 

.i 

£ 
1 

"c 

'•s 

L 

^_ 

K 
r- 

1 
4 

tu 

1 

'« 

_ 

cc 
c 

C 
«l 

« 

s 

4 

oah. 
ienandoah__ 

Id. 
>mithfield— 

and  Farmers  ] 

c 
c 

•25 
85 

c 

K 

PC 

"o: 
c 

i 

1; 
-c 

£ 

,_ 

E 

^•£ 

=5  5 

| 
£ 

a 

f 

1 
«] 

ville. 
reene  - 

gffl^Sww 


•—•  rttf  W  Mri  ""i 

^TslSl-al- 


.g    . 

GJ^lCi 

a 


3  'S'S??^^^  « 
3S5<SS!?!S«<i*«— «•- 

fe>.o^^.|g-5«H^a^ 


PQ 


18-TO 


274 


Report  of  Committee  on  Tax  Revision. 


TABLE  XI—  TAXATION  OP  BANKS—  CONTINUED. 

00  '001$  -KWt 
Sg'ii  IB  XB;  peeodoad; 

gh-  <M  50  Oi  "^  m        00        Q  95        Q*        ^        O  T"  CO        C 
OOOW^Osri        5*        IS  25        t-        •«»<        ODO^O        r 

i     85 

?  SJ 

5     S    3 

^ 

i        if 

J    | 

1    & 

g^",.,  ^T       ,_  pn"                                                             Oeo" 

*.*.*. 

5      SSSKgS       e^       ?3S       2      3      £88      S 

i  li  i  3 

CO'CM" 

8 

«^ 

i 
I 

p 

i 

i 

MUNICIPAL 

Amount 

1|  I|!       1     IS 

11 

I 

1 

§SS    gS    8                        *** 

88    S 

0 

» 

COUNTY 

Amount 

i-i  i-l 

se- 

1 

8                        JS    SS          S    8    S    8  'ISIS    g 

STATE 

Actually  p'd 

«    Hg^ll    S    gS    3    B    g||    Ss    §| 

§3    3 

3    3 

g 

'jpo^s  jo  aniBA  ^oog 

1  §§3£§g  1   §g  1  i  ill   g  §1   1  i   § 

t^OO'O        i^CM        rH        -^<<M        S        CM        mI-l^5        CM        IftCO        T-I                   iH 
r-l        CO              iH                                                                  CO  CSI                    i-l  r-l 

LOCATION—  NAME  OF  BANK 

1 

1 

a 

02 

s 

ily     a  fl   i! 

JS             "S^K^^H                    3               83         CJ        02^ 

S     o     ^  S)'""-2:S1(a     "5^     -w'l'       M      "1^ 
^i§o^«>«M'2;e.2s*3':8      o^,a3    -WpSPSj^ 

«      0  «8  "S  8  5  5      ^      JS      "S      8      S«1a      J 

Tazewell. 
Bank  of  Clinch  Valley.  ._ 
Tazewell  National  - 
Timbervillc. 
Farmers  and  Merehants-- 
Townsend, 
Townsend  Banking  Co  — 
Troutdale. 
Bank  of  Troutdale-— 

Appendix. 


275 


9    g    S    88    8    £ 

8  §  2  83  6  § 


8    33    3 


S    g    S3    S 

8    §8    88    $ 


S8 


S58 


S    8 


8 


5  g 


£  'S    8    £    3$    3    81:    8 


&.  £    84 


S    So 


S 


Ci  •***    CO    Ci    CO    00    00  lO    I>    4>  rH    t*»    O    CO    CM*  00    O    rH*    CO**    CO^  cT    irT  cT  <3i    i^ 
CM  i-H    CO    CM    rH    rH    og  rH    CM    JO  1C    rH    CO    O    00^    K    53    rH    rH  O    S  §  S    rH 


T 

k 

»     S 

b 

a 

J 

R 

1 

.  ! 

II 

0       *; 

a 

T 

1 

| 

s 

C 

"£ 
£ 

w 

,       l_^ 

ca 
G 

c 

"S 

«. 

QE 

»M.sa  s» 
ls< 


C 

i^ 

, 

c 

"^ 

1 

> 

| 

S 

i 

1 

6 
| 

1 

1 

« 
> 

_c 

'^ 

C 

* 

! 

.  od 

ii 

"K 
^ 

C 

ii 

g>{= 

o^ 

II 

*?« 

^5 

«9  L> 

1 

^ 

fe  "C 

— 
^ 
_ 

"c 

4* 

1 

•  t? 

« 

h 

276 


Report  of  Committee  on  Tax  Revision. 


gg' 


00 '001$  "d 
XBJ  pasodoi,! 


538 


;o 


88 


88 


w  eo  eo      I-H  eo 

i-t  in  rH        00  rH 


\^ 

\»*  $ 

!S5  5 

^  Qpq  g 

§>>a  ,_ 


|SS>i^; 

•"  C  C   .,  —  »  ' 


Appendix.  277 


SEGREGATION  TABLES. 
Tables  XII-XIII. 

Misdemeanor  charges,  aggregating  $25,262.93,  are  taken  from  the 
Auditor's  Eeport  for  the  year  ending  September  30,  1914,  and  represent 
charges  to  be  assumed  by  the  localities  under  the  segregation  plan. 

The  cost  of  the  quinquennial  assessment  of  real  estate  is  based  upon 
the  assessment  of  1910;  one-fifth  of  this  five  year  cost  being  taken  for 
the  purpose  of  this  table. 

Fees  to  Commissioners  of  the  Revenue  for  the  assessment  of  tangible 
personal  property  are  from  the  Auditor's  Report  for  the  year  ending 
September  30,  1914,  and  represent  amounts  that  would  have  to  be  as- 
sumed by  the  localities  for  the  assessment  of  this  class  of  property  under 
the  segregation  plan. 

The  tax  on  rolling  stock  is  determined  by  values  fixed  in  total  by 
the  Corporation  Commission  for  1913,  and  has  been  distributed  on  the 
mileage  basis  to  the  localities,  in  accordance  with  the  Act  of  1913. 

Insurance  tax  and  license  figures  were  obtained  from  reports  of  in- 
surance companies,  verified  by  the  Auditor's  Report  and  revenue  reports 
from  localities. 

Intangible  personal  property  is  based  on  the  assumption  that  this 
class  of  property  will  be  assessed  at  $1  on  the  hundred  dollars,  the 
State  to  return  three-fourths  to  the  localities ;  the  loss  to  localities  under 
the  segregation  plan  being,  therefore,  seventy-five  cents. 

The  deficit  in  the  State  budget  under  the  segregation  plan  is  pro- 
rated among  the  localities  first  on  the  basis  of  the  assessed  value  of  their 
property;  and,  second,  on  the  basis  of  the  estimated  true  value. 

Table  XIV. 

This  table  shows  the  total  amount  of  the  present  tax  on,  real  estate, 
tangible  personal  property,  and  the  physical  properties  of  public  service 
companies  which  it  is  proposed  to  segregate  to  the  localities. 

Tables  XV-XVI. 

Table  XV  shows,  first,  the  gains  and  losses  to  localities  based  on 
the  assessment  of  1913,  upon  the  assumption  that  the  receipts  from 
rolling  stock  are  taken  from  the  localities  and  segregated  for  State 
purposes ;  and,  second,  the  gains  and  losses  to  localities  upon  the  assump- 
tion that  receipts  from  the  rolling  stock  tax  do  not  exist.  It  is  merely 
intended  to  make  plain  how  great  a  difference  in  local  budgets  is  attribu- 
table to  the  recent  law  providing  for  a  new  distribution  of  the  receipts 
from  this  tax. 

The  above  applies  also  to  Table  XVI,  with  the  exception  that  the 
basis  used  is  the  estimated  true  value. 


278 


Report  of  Committee  on  Tax  Revision. 


VI 
W 


§ 


is 

^  ^ 
"8 


£ 

o 

Pn 

P 

% 

•3 

^ 

PM 
^   ^ 

2  -s 

<j    CO 

I § 

li 
f  j 

s  I 

r-    ,  J^ 

O    < 

W       4» 

fe   -S 


X 
H 

^ 

<< 

H 


is- 


8     § 

K     i 
g          I 


1* 


ill 


S6 


88888888888888888888888888 


iciincoNcomsor-iocsi 

S"    ^OCiOO^r- <OT— tl^ 
OOC:COMOlf5tOlOr-li 


circcr-  eor-i 


t-i-^r-       oqeirt<N 


•<«<?Oi-100i-t-*         OOC<l 


"§ 


Appendix. 


279 


eo"  of  co"  r-"  oo"  co"  oo"  r-T  of  •*"  co"  i>"  •«*  CM  e»  to"  jj"  oo"  eg"  •*"  o"  •*  r-T  of  co"  co"  eg"  gi  rn  CD  KJ"  of  j-t"  of  og"  ^f  of  -*  eo"  j^"  w"  eg"  goj'  o"  eo"  os  of  r^" . 


§888888888888888888888888888888888888888888888888 

^"lo"rHt^05rH"i-rof  •*"  of  rHof  r-T        ofl>-*"cOi 


!& 


888 


853 


O  S  CO  5  CO 

02  g  S  W  0> 


t-  tf  eo  »j  in  <? 


Ot^i^OOOOCC^^rH 

o  oo  ^  Z  «  55  ?5  ob  IH 


OOrHt>I^OiO^ 

^  «  ^ 


r 

c 

CC 

^  fa" 

Ll 

t- 

I 

s 

a 

4> 

R 

'c 

CC 

C 
K 

4- 
« 

'C  S 

we 

fl        S-mXiSOO        H  Hcs  ?«WO 


280 


Report  of  Committee  on  Tax  Revision. 


Q   ri 


li, 
pi 


8888888888888888888888888 


rHOiCOrH          CO  0  O  rH 
rH  rH         CM 


CM  ITS  •*  1>  rH          iH  rH 


Com.  Rev 
Fees  on 
Tangible 
Property 


Cost  of 
inquennia 
st.  on  Rea 
Estate 


Misd 
Ch 


t~  53  § 

c<fco 


t-Too'SCo'>-H'co"rH'lO-*         IN"        lo"rH  US  rHOo" 


«S 

=   03 

|S 
-I 


073 


.. 


-a 


"O 


C 


PH  fi  fr  g  g  «  «  P5  S  w  M  »  Si 


Alexan 
Bristol 
Buena  Vista 
Oharlottesville 


Appendix. 


281 


§88 
883 

1-1  K  io 


gogoog^oggog 

OinOOOINOOOOgQ 


in-^cot^co      t^(M-*eo      o 


311 


M  oo  p-  i-       cs  <N 


C3        i-H        CO 


§88 


iOOQOOOp        Op 
^  o  o  o  Soo  o      oo 


8SS 


PH      ^cC'^'C'S      -afl     fig      ^ 

|||||||||i||||||  fi  J 


282 


Report  of  Committee  on  Tax  Revision. 


•3 

o 


R 


Si 

ffl  Z 


2  "8 


O 

a 


«n 

sii 


s 
is- 

££1 


III 

o         1*1 

'    £ 

B 

P 


111 

111 


OI 


i     61 
I      «• 


16 


88883S888SSSSS8SSSSSSS888SSSS888 


8    S8 


i-i   m    m 


s 


Appendix. 


283 


as"  oi  rH  uf  •*  oo  «s  r-  o  ?o  eo  t-r  •*  •*  o  **  i- 


o  rH  u 


8888  38888888  SSS8S88S  88  8888888888888888888888888888 


co  10  cc  IM  co 


S  E 


§  I  E  81  IS 


1  3  S  S888SSI  S  S  8  I  I  S  | 

r-l  •*"        of  frf  r-T  C<T  ^  (N*"        CO~        W  i-H  rH  cT  CC 


rH^r-rH    i-    r-  t-  eo  If  r-  i 


c  cc  i-H  0  r-  •* 


888 


S88SS 


0000 


§8 
feS 


rH  I-H  0  50  ** 


Sc§ 
II 


C<1  •*          •*         COCO         (M  ^ 


•^r| 


s-S*     {|a     |Mg 


«3    03    53    >    t> 


infill! 


E?3  ° 


SilSil. 


s  £•§ 


a 

a-a 
1 1 

TJ«  Oi 


Report  of  Committee  on  Tax  Revision. 


±  M 

o  gpq 


ES 


II 


;$rH3£3£! 


888838S88888S888S8 


V,  . 

I -a  ^ 

C    §   ^  j         cTr-Tcsf  in^t^i-T        r4r-*>O  CO*        Co"r-T 


Int 
Pe 
Pro 


nce 
and 


Rollin 
Sk 


toc 
Tax 


SS88 

r^  IM  oo  ift 

CO  O  rH  -^ 

•^  o  co 


;s^s 


eo  I-H  so  r-t  10  • 


lOrH  kQrHOO 


Com.  Rev 
Tees  on 
Tangible 
Property 


al 
t 
ate 


10  in  co  cs  •**  ^ 


8888888 

o  oo  o  so  m  o  oo 

CO  O  T—  1  j—l  O-OO  rH 


I    rH 


la 


O  CO  rH  in         00 
in  CO  CO  rH          IS 


88SS 


Sfe-SS     2 
^-H^-g«5^ 

M  <gS  >> 


8888 


co  i«  oi  oo 


in  co  la  t- 


10  1C  00  CO 
t>  i-H  O5  O 


Sg 

« ill! 

S      'r**^          «f«52-g..! 

lsglli||l|| 

%  aa  §  cs4^  C^  «  C  £^ 

^5  tn  sr:  =5  «  u 


Appendix. 


285 


88888888 


o  S>t2coS?  oi 


ift  (N  ic  <*  op  o  o 

t^-  -^  rH  r-t  O  O  CO 


CO        CO  (M  iH  r-1 


«O  r-l  <M  05  r-l  CD 

in  05 10  oo  t~  co 
oS  o§  g  oo  M  tg 

CO  ^n  1-1  CO  IM  -*i 


I  N  O  O3  O  ^f  t>  i 

>  I-H  r^.  10  --^  co  ^f  - 


i-l         CO  r-l 


888S8 


88 


286 


Report  of  Committee  on  Tax  Revision. 


TABLE  XIV. 

EFFECT  OF  PROPOSED  SEGREGATION  PLAN  UPON  LOCAL  REVENUES 

Revenues  Segregated  to  Counties  and  Cities. 


COUNTIES 

STATE  TAXES  AT  35c  PER  $100  ON 

Eeal  Estate 

Tangible 
Personal 
Property 

Public 
Service 
Property 

Total    all 

$  1,921,382  88 

$      380,033  56 

$      316,307  34 

Accomac    -    -               -          

$       18,675  37 
19,928  92 
16,852  52 
14,672  79 
4,178  85 
7,775  37 
4,216  59 
38,391  18 
8,002  42 
15,602  22 
2,530  48 
11,316  74 
13,523  34 
14,420  86 
6,420  77 
16,068  36 
7,866  41 
3,196  25 
2,813  96 
9,508  16 
22,432  89 
9,040  88 
3,596  34 
10,512  29 
3,919  41 
11,461  23 
7,456  29 
15,455  72 
4,453  91 
20,234  66 
26,997  60 
3,335  78 
2,751  63 
6,384  76 
11,733  79 
4,538  39 
5,301  06 
4,712  38 
4,103  80 
2,474  20 
6,046  67 
18,296  68 
11,844  22 
50,546  00 
6,964  13 
8,794  59 
10,192  21 
2,889  58 
2,239  81 
3,372  89 
4,043  19 
4,065  99 
8,287  97 
29,822  54 
7,968  99 
4,619  45 
6,447  50 
3,239  43 
10,850  53 
4,066  50 
8,a50  67 
9,134  83 

$         4,511  55 
5,310  65 
1,298  15 
2,818  43 
1,468  54 
1,959  95 
1,156  49 
9,141  78 
1,732  68 
4,601  74 
1,367  11 
2,958  32 
3,125  34 
1,310  53 
2,018  87 
3,898  50 
2,451  18 
1,909  27 
784  91 
2,659  31 
6,383  58 
2,416  07 
909  97 
2,831  88 
1,580  33 
1,172  93 
2,301  43 
3,109  54 
1,106  64 
4,402  65 
7,804  91 
1,870  24 
1,019  10 
2,307  11 
2,757  39 
1,965  45 
1,778  08 
1,284  84 
2,583  85 
1,028  13 
1,701  98 
7,793  61 
2,961  48 
6,252  05 
1,910  93 
1,678  60 
2,323  83 
657  79 
996  46 
1.196  23 
1,493  14 
2,651  42 
2,985  97 
9,070  68 
2,183  21 
2,111  12 
1,811  12 
1,009  99 
4,945  82 
1,387  47 
2,692  41 
2.449  01 

$         3,385  17 
6,533  18 
4,571  17 
4,452  04 
1,062  51 
3,675  53 
2,203  55 
6,299  57 
1,293  11 
6,917  53 
329  31 
5,971  85 
3,865  37 
181  03 
475  65 
8,857  08 
2,767  58 
4,622  33 
446  58 
2,933  70 
6,691  90 
1,206  53 
325  35 
2,454  93 
504  41 
36  93 
5,749  09 
2,681  73 

Albemarle 

Alexandria 

Alleghany 

Amelia    _    

Amherst 

Appomattox 

Augusta    -                         -- 

Bath    __        

Bedford 

Bland 

Botetourt    - 

Brunswick    _        -         -        _^    __  

Buchanan   

Buckingham 

Campbell 

Caroline 

Carroll    

Charles  City  .. 

Charlotte    

Chesterfield 

Clarke 

Craig    

Culpeper 

Cumberland 

Dickenson 

Dinwiddie 

Elizabeth  City  

Essex 

Fairfax    _    _ 

6,326  42 
3,333  82 
2  48 
3,176  35 
1,624  07 
1,624  15 
4,876  07 
7  00 
3,130  03 
173  42 

Fauquler  

Floyd 

Fluvanna    

Franklin 

Frederick    - 

Giles  - 

Gloucester    

Goochland 

Grayson 

Grcfne     -    - 

Greensville    

2,733  29 
4,242  60 
4,527  07 
7,064  12 
2,289  00 

Halifax     _    . 

Hanover   _         .    .  

Henrico    

Henry   _ 

Highland    

Isle  of  Wight 

1,892  62 
1,753  76 

James  City 

King  George     -    __  - 

King  and  Queen  

King  William 

600  50 

Lancaster  _ 

Lee  

3,664  53 
1,153  58 
3,022  43 
1,889  30 

Loudoun 

Louisa    --  -  - 

Lunenburg   

Madison  

Mathews 

Mecklenburg 

3,697  68 
11  90 
5,423  40 

8.120  22 

Middlesex 

Montgomery 

Nansemond    - 

Total 
Addition 


$    2,647,723  78 


Appendix. 


287 


TABLE    XIV. — CONTINUED. — EFFECT    OF    PROPOSED    SEGREGATION 
PLAN   UPON   LOCAL   REVENUES. 


COUNTIES 

S1TATE  TAXES  AT  35c  PER  $100  ON 

Total 
Addition 

Real  Estate 

Tangible 
Personal 
Property 

i 

Public 
Service 
Property 

Nelson 

$          8,189  93 
2  229  10 

$          3,195  82 
713  58 
10,018  93 
2,976  82 
3,843  44 
1,982  52 
2,527  55 
2,296  48 
1,902  35 
4,695  81 
1,134  21 
1,911  50 
2,020  73 
2,028  32 
3,132  11 
2,849  98 
1,992  37 
1,214  43 
3,656  78 
4,345  03 
8,444  95 
4,435  37 
2,714  58 
5,181  08 
2,881  37 
5,102  47 
1,821  02 
1,328  24 
1,457  81 
2,132  42 
3,779  96 
886  82 
694  23 
3,066  71 
1,313  07 
3,039  58 
3,2il  50 
1,080  92 

$          4,160  89 
1,676  35 
15,084  86 
3,285  73 

$         15,546  64 
4,619  03 
84,168  84 
15,504  77 
9,723  01 
13,726  96 
14,965  08 
11,586  17 
6,329  46 
35,489  61 
5,530  55 
13,655  96 
10,871  30 
15,040  94 
17,041  30 
16,629  38 
7,327  41 
3,972  29 
29,613  72 
24,362  41 
53,906  06 
16,810  92 
12.529  21 
22,798  26 
16,466  84 
23,881  60 
8,220  53 
6,542  03 
8,365  02 
14,431  55 
25,361  04 
8,373  92 
10,965  41 
20,149  34 
6,337  90 
35,291  34 
18,746  36 
4,956  50 

New   Kent 

Norfolk 

59,065  05 
9,242  22 
5,879  57 
8,553  35 
9,926  26 
7,242  72 
3,866  24 
25,280  46 
3,869  99 
8,873  66 
7,152  12 
10,752  33 
10,242  81 
10,716  47 
5,335  04 
2,757  86 
20,468  17 
15,604  68 
42,233  07 
9,254  30 
5,974  27 
15,475  36 
10,920  27 
13,889  26 
5,158  67 
3,238  31 
6,372  17 
8,814  74 
17,155  55 
5,255  53 
5,664  93 
13,114  36 
5,024  83 
27,357  35 
11,988  04 
3,086  16 

Northampton 

Northumberland 

Nottoway 

3,191  09 
2,511  27 
2,046  97 
560  87 
5,513  34 
526  35 
2,870  80 
1,698  45 
2,260  29 
3,666  38 
3,062  93 

Orange 

Page 

Patrick 

Pittsylvania 

Powhatan 

Prince  Edward 

Prince   George 

Princess   Anne 

Prince   William 

Pula-ski 

Rappahannock    __  --  --  --  -_  --  

Richmond         - 

Roanoke 

5,488  77 
4,412  70 
3,228  04 
3,121  25 
3,840  39 
2,141  82 
2,665  20 
4,889  87 
1,240  84 
1,975  48 
535  04 
3,484  39 
4,425  53 
2,231  57 
4,606  25 
3,968  27 

Rockbridge 

Rockinghain 

Russell    

Scott   - 

Shenandoah    _____          _  _ 

Smyth      _ 

Southampton 

Spotsylvania  _              _ 

Stafford     _  

Surry  _  

Sussex      

Tazewell    

Warren    

Warwick    

Washington     _     _    _ 

WTestmoreland    

Wise 

4,894  41 
3,506  82 
789  42 

Wvthe 

York 

Totals 

$  1,084,488  14 

$      280,412  60 

$      280,417  15 

$    1,645,317  89 

CITIES 
Alexandria    _ 

$        18,372  60 
8,649  39 
2,404  47 
10,337  25 
5,549  07 
31,672  27 
8,465  35 

$             982  36 
724  81 
1,055  42 
1,504  86 
724  79 
17,315  12 
837  18 

$          1,253  26 
679  71 
308  14 
750  89 
1,802  42 
894  30 
490  71 

$          20,608  22 
10,053  91 
3,768  03 
12,593  00 
8,076  28 
49,881  69 
9,793  24 

Bristol    -. 

Buena   Vista   - 

Charlottesville   _ 

Clifton  Forge  _ 

Danville    

Predericksburg 

Hampton    _ 

Lynchburg   _    __ 

62,517  85 
33,431  67 
178,780  24 
38,325  96 
33,920  15 
4,531  91 
310,594  87 
56,542  81 
14,351  38 
7,927  51 
2,003  54 
8,516  45 

$      836,894  74 

6,449  53 
2,489  20 
12,501  86 
12,330  75 
3,505  68 
900  19 
27,734  17 
6,142  59 
1,958  52 
1,163  20 
294  40 
1,006  33 

5,031  74 
3,397  17 
14,450  80 
2,248  96 
4,197  77 
613  98 
18,863  68 
9,028  75 
727  15 
766  73 
3  68 
380  35 

73,999  12 
39,318  04 
205,732  90 
52,905  67 
41,623  60 
6,046  08 
357,192  72 
71,714  15 
17.037  05 
9,857  44 
2,301  62 
9,903  13 

Newport  News   

Norfolk 

Petersburg 

Portsmouth 

Radford     _ 

Richmond     __ 

Roanoke    

Staunton    

Suffolk 

William^burg 

Winchester    _ 

Totals    

$        99,620  96 

$        65,890  19 

$    1,002,405  89 

283 


Report  of  Committee  on  Tax  Revision. 


TABLE  XV. 
EFFECT    OF   PROPOSED    SEGREGATION    PLAN    UPON    LOCAL 

REVENUES — CONTINUED. 
Deficit  Apportioned  on  Basis  of  Assessment  xof  1913. 


COUNTIES 

Total  deductions 

Total  additions 

» 

I 
«i 

CJ 
OB-O 

IS 
o 

1 

"c 

4 

FQ 

$  0 
ri 

Gains   and  losses,  ex- 
cluding receipts  from 
rolling  stock  tax 

§5 

o  *S 

sl 

13 

o~ 

ii 
ll 

|i 

Total  all 

$2,255,440  88 

$2,647,723  78 

$392,282  90 

$777,496  70 

$      19,977  17 
45,415  17 
13,629  93 
20,595  90 
4,317  02 
10,445  00 
3,609  69 
38,092  57 
7,459  32 
23,909  18 
2,284  51 
21,677  52 
11,997  68 
6,282  75 
7,319  39 
35,3-10  32 
7,698  73 
9,014  08 
4,047  23 
9,925  16 
19,681  83 
8,375  03 
3,743  59 
17,903  05 
3,927  11 
5,045  39 
13,512  90 
12,751  10 
3,202  14 
21,245  07 
28,592  15 
3,800  88 
8,222  74 
11,141  03 
9,617  31 
14,450  49 
3,803  53 
7,616  43 
4,910  24 
2,006  97 
9,650  53 
26,700  76 
24,339  88 
78,793  70 
13,667  66 
4,954  31 
10,844  67 
4,079  05 
1,649  15 
2,58938 
6,162  62 
3,027  92 
13,477  92 
32,162  37 
11,467  28 
6,850  23 
5,256  09 
2,530  03 
14,010  43 
2,567  64 
18,666  14 

$      26,572  09 
31,772  75 
22,721  84 
21,943  26 
6,709  90 
13,410  85 
7,576  63 
53,832  53 
11,028  21 
27,121  49 
4,226  90 
20,246  91 
20,514  05 
15,912  42 
8,915  29 
28,823  94 
13,085  17 
9,727  85 
4,045  45 
15,101  17 
35,508  37 
12,663  48 
4,831  66 
15,799  10 
6,004  15 
12,671  09 
15,506  81 
21,246  99 
5,560  55 
30,963  73 
38,136  33 
5,208  50 
6,947  08 
10,315  94 
16,115  33 
11,379  91 
7,086  14 
9,127  25 
6,861  07 
3,502  33 
10,481  94 
30,332  89 
19,332  77 
63,862  17 
11,164  06 
10,473  19 
14,408  66 
5,301  13 
3,236  27 
4,569  12 
6,136  83 
6,717  41 
14,938  47 
40,046  80 
13,174  63 
8,619  87 
8,258  62 
4,269  42 
19,494  03 
5,465  87 
16,766  4S 

$    6,594  92 

$  10,693  60 

$  13,642  42 

$    7,153  27 

9,091  91 
1,347  36 
2,392  88 
2,965  85 
3,966  94 
15,739  96 
3,568  89 
3,212  31 
1,942  39 

10,667  45 
10,042  75 
3,544  07 
7,461  35 

Amelia 

4,347  87 
24,380  70 
6,512  61 
12,387  32 
1,979  12 
10,581  72 
11,067  68 
9,733  41 
3,767  73 
6,185  82 
7,182  84 
5,083  81 
433  32 
8,042  54 
20,009  73 
6,195  67 
2,672  48 

Bath 

Bedford 



Bland 

1,430  61 

Brunswick 

8,516  37 
9,629  67 
1,595  90 

Buckingham 

Campbell 

6.516  38 

Caroline 

5,386  44 
713  77 

—  

Charles  City               -    

1  78 

Charlotte 

5,176  01 
15,826  54 
4,288  45 
1,088  07 

Chesterfield    

Clarke 

Craig 

Culpeper            

2,103  95 

8,835  52 

2,077  04 
7,625  70 
1,993  91 
8,495  89 
2,358  41 
9,718  66 
9,544  18 
1,407  62 

2,865  04 
7,633  35 
9,791  21 
10,148  34 
2,3n8  41 
12,532  30 
12,173  25 
1,407  62 
4,049  88 
4,943  23 
6,956  18 
6,561  71 
3,282  61 
5,567  49 
2,543  63 
1,495  36 
4,99986 
12,800  45 

Dinwiddie 

Elizabeth  City 

Fairfax 

FauQuier 

Floyd                                -  

Fluvanna   -         -          

1,275  66 

825  09 

Franklin     

Frederick 

6,498  02 

Giles 

3,070  58 

Gloucester                    

3,282  61 
1,510  82 
1,950  83 
1,495  36 
831  41 
3,632  13 

Goochland     --  --  --  -    - 

Grayson 

Greene 

Green  sville 

Halifax                      -    

Hanover   -    --  --  --  

5,007  11 
14,931  53 
2,503  60 

36608 
10,318  09 

Henri  co 

Henry 

4,907  58 
5,518  88 
5,386  33 
3,059  08 
1,587  12 
1,979  74 
797  93 
3,689  49 
7,294  77 
8,067  17 
5,749  73 
4,403  53 
3,002  53 
1,739  39 
8,730  07 
2,898  23 
6,097  01 

Highland                         

5,518  88 
3,563  99 
1,222  08 
1,587  12 
1,979  74 

Isle   of  Wight          

James  City 

King  George 

King  and  Queen 

King  William                   

25  79 

3,689  49 
1,460  55 
7,884  43 
1,707  35 
1,769  64 
3,002  53 
1,739  39 
5,483  60 
2,898  23 

Lee 

_ 

Loudoun 

Louisa 

Lunenburg         --    





Ma  thews 

Mecklenburg                  

Middlesex    —       

Montgomery  _. 

1,899  66  | 

289 


TABLE  XV— CONTINUED.— EFFECT  OF  PROPOSED  SEGREGATION  PLAN 
UPON  LOCAL  REVENUES. 


COUNTIES 

Total  deductions 

Total  additions 

1                     I 

c               "5 
P               3 

8               g 

o|               ol 

'3                *""S 

a  a               %  a 
'3  «                o  « 
O                  H! 

Gains  and  losses,  ex- 
cluding receipts  from 
rolling  stock  tax 

Gain  to  coun- 
ties and  cit's 

i£ 

SS 

o  a 

11 

$    14,575  79 
22,052  92 
4,133  80 
43,022  69 
11,699  61 
5,077  11 
13,488  99 
28,012  96 
10,851  38 
3,318  38 
19,083  13 
2,707  52 
11,957  30 
8,168  86 
7,713  61 
26,849  66 
15,218  41 
4,155  28 
1,730  17 
30,678  84 
22,989  75 
42,390  08 
18,288  61 
13,747  14 
14,990  31 
15,342  95 
18,929  88 
4,688  42 
4,543  71 
4,468  44 
12,264  70 
26,878  37 
8,853  96 
5,786  42 
19,395  28 
3,047  61 
29,235  99 
27,025  23 
2,803  47 

$    19,704  06 
15,546  64 
4,619  03 
84,168  84 
15,504  77 
9,723  01 
13,726  96 
14,965  08 
11,586  17 
6,329  46 
35,489  61 
5,530  55 
13,655  96 
10,871  30 
15,040  94 
17,041  30 
16,629  38 
7,327  41 
3,972  29 
29,613  72 
24,362  41 
53,906  06 
16,810  92 
12,529  24 
22,798  26 
16,466  84 
23,881  60 
8,220  53 
6,542  03 
8,365  02 
14,431  55 
25,361  04 
8,373  92 
10,965  41 
20,149  34 
6,337  90 
35,291  34 
18,746  36 
4,956  50 

$  5,128  27 

$11,726  87 

Nelson 

$  6,506  28 

$  3,254  91 

New  Kent 

485  23 
41,146  15 
3,805  16 
4,645  90 
237  97 

2,821  63 
46,639  50 
6,742  40 
4,645  90 
6,303  04 

Norfolk 

NortnumDerland 

13,047  88 

10,920  56 

734  79 
3,011  08 
16,406  48 
2,823  03 
1,698  66 
2,702  44 
7,327  33 

5,141  21 
3,347  18 
20,790  03 
3,487  04 
5,327  47 
6,271  92 
8  089  08 

Patrick 

Pittsylvania 

Prince   William 

9,808  36 

7,598  25 

Pulaski 

1,410  97 
3,172  13 
2,242  12 

8,319  23 
3,172  13 
2,242  12 
6,642  50 
9,713  01 
15,262  43 
9,538  60 
5,117  64 
9,707  94 
6,249  82 
9,107  00 
4,406  39 
4,012  52 
4,368  56 
7,784  86 
9,837  99 
4,702  54 
6,999  03 
9,372  12 
3,290  29 
20,063  80 
1,151  69 
2,971  99 

Richmond 

I~065  12 

Roanoke 

Rockbridge 

1,372  66 
11,515  98 

Rockingham 

Russell    _         _____ 

1,477  69 
1,217  90 

Scott   

Shenandoah    _  

7,807  95 
1,123  89 
4,951  72 
3,532  11 
1,998  32 
3,896  58 
2,166  85 

Smyth 

Southampton 

Spotsylvania 

Stafford 

Surry 

Sussex    _  

Tazewell    _    

1,517  33 
480  04 

Warren    __       __  _ 

Warwick     

5,178  99 
754  06 
3,290  29 
6,055  35 

Washington    



Westmoreland 

Wise 

Wythe 

8,278  87 

York   _ 

2,153  03 

Totals 

$1,380,201  79 

$1,645,317  89 

$265,116  10 

$624,912  88 

CITIES 
Alexandria   _ 

$      48,182  26 
5,910  58 
2,758  70 
11,077  87 
3,502  13 
30,781  63 
9,599  07 
84,800  59 
21,275  96 
135,625  87 
40,746  70 
20,654  35 
3,613  80 
370,434  79 
37,669  20 
20,859  88 
11,385  66 
1,172  64 
15,187  41 

$      20,608  22 
10,053  91 
3,768  03 
12,593  00 
8,076  28 
49,881  69 
9,793  24 
73,999  12 
39,318  04 
205,732  90 
52,905  67 
41,623  60 
6,046  08 
357,192  72 
71,714  15 
17,037  05 
9,857  44 
2,301  62 
9,903  13 

$  27,574  04 

$  27,007  78 

Bristol     

$    4,143  33 
1,009  33 
1,515  13 
4,574  15 
19,100  06 
194  17 

$1    4,646  38 
1,813  03 
1,947  03 
4,955  44 
19,908  38 
295  23 

Buena  Vista   

Gharlottesville  _    __ 

Clifton  Forge 

Danville    __ 

Fredericksburg    _ 

Lynohburg  

10,801  47 

6,443  29 

Newport  News     

18,042  08 
70,107  03 
12,158  97 
20,969  25 
2,432  28 

19,545  37 
73  690  42 

Norfolk   _ 

Petersburg  _    _    _ 

13,495  94 
22,303  81 
2,916  19 

Portsmouth    

Radford      

Richmond   _ 

13,242  07 

7,109  55 

Roanoke    

34,044  95 

36,426  78 

Staunton    _ 

3,822  83 
1,528  22 

3,600  12 
1,072  56 

Suffolk    —  ._ 

Williamsburg     

1,128  98 

1,128  98 

Winchester  

5,284  28 

5,255  86 

Totals    

$    875,239  09 

$1,002,405  89 

$127,166  80  , 

$152,583  82 

19-TC 

290 


Report  of  Committee  on  Tax  Revision. 


TABLE  XVI. 

REGATION  PL^ 
— CONTINUED. 

Deficit  Apportioned  on  Basis  of  Estimated  True  Values. 


EFFECT  OF  PROPOSED  SEGREGATION  PLAN  UPON  LOCAL  REVENUES 

— CONTINUED. 


COUNTIES 

Total  Deductions 

Total  additions 

I 
1 

Q 

si 

B 

co  t3 

a  3 
1" 

| 

I 

s 

O  *r3 
~« 

|1 

Gains  and  losses,  ex- 
cluding receipts  from 
rolling  stock  tax 

Gain  to  coun- 
ties and!  cit's 

Loss  to  coun- 
ties and  cit'a 

Total  all 

$2,255,440  88 

$2,647,723  78 

$392,282  90 

$777,496  70 

$      22,237  17 
47,393  17 
16,024  93 
21,520  90 
4,487  02 
11,184  00 
3,897  69 
40,512  57 
7,703  32 
25,023  18 
2,734  51 
22,585  52 
10,539  68 
6,990  75 
7,022  39 
41,990  32 
7,488  73 
10,490  08 
4,252  23 
9,311  16 
20,435  83 
10,154  03 
5,442  59 
18,183  05 
3,635  11 
7,795  39 
13,574  90 
12,401  10 
3,414  14 
21,542  07 
28,094  15 
4,751  88 
9,320  74 
12,144  03 
11,037  31 
15,482  49 
4,077  53 
8,391  43 
6,277  24 
1,971  97 
9,959  53 
26,425  76 
23,841  88 
87,403  70 
14,687  66 
4,768  31 
10,444  67 
4,056  05 
1,736  15 
2,615  38 
6,087  62 
2,726  92 
14,185  92 
30,820  37 
11,867  28 
7,232  23 
5,704  09 
2,920  03 
14,414  43 

$      26,572  09 
31,772  75 
22,721  84 
21,943  26 
6,709  90 
13,410  85 
7,576  63 
53,832  53 
11,028  21 
27,121  49 
4,226  90 
20,246  91 
20,514  05 
15,912  42 
8,915  29 
28,823  94 
13,085  17 
9,727  85 
4,045  45 
15,101  17 
35,508  37 
12,663  48 
4,831  66 
15,799  10 
6,004  15 
12,671  09 
15,506  81 
21,246  99 
5,560  55 
30,963  73 
38,136  33 
5,208  50 
6,947  08 
10,315  94 
16,115  33 
11,379  91 
7,086  14 
9,127  25 
6,861  07 
3,502  33 
10,481  94 
30,332  89 
19,332  77 
63,862  17 
11,164  06 
10,473  19 
14,408  66 
5,301  13 
3,236  27 
4,569  12 
6,136  83 
6,717  41 
14,938  47 
40,046  80 
13,174  63 
8,619  87 
8,258  62 
4,269  42 
19,494  03 

$    4,334  92 

$  8,433  60 

Albemarle 

$  15,620  42 

$  9,131  27 

Alexandria  

6,696  91 
422  36 
2,222  88 
2,226  85 
3,678  94 
13,319  96 
3,324  89 
2,098  31 
1,492  39 

8,272  45 

Alleghany    -              _- 

9,117  75 

Amelia 

3,374  07 

Amherst 

6,722  35 

Appomattox 

4,059  87 
21,960  70 

Augusta 

Bath 

6,268  61 

Bedford 

11,273  32 
1,529  12 
9,673  72 
12,525  68 
9,025  41 
4,064  73 

Bland 

Botetourt 

2,338  61 

9,974  37 
8,921  67 
1,892  90 



Campbell 

13,166  38 

464  18 

5,596  44 

7,392  8* 
3,607  81 
228  32 
8,656  54 
19,255  73 
4,416  67 
973  48 

Carroll 

762  23 
206  78 

Charles   City 

Charlotte 

5,790  01 
15,072  54 
2,509  45 

Chesterfield 

Clarke 

Craig                        

610  93 
2,383  95 

Culpeper  --  --  --  - 

1,115  52 

2,369  04 
4,875  70 
1,931  91 
8,845  89 
2,146  41 
9,421  66 
10,042  18 
456  62 

3,157  04 
4,883  35 
9,729  21 
10,498  34 
2,146  41 

-             -                 " 

Dinwiddie 

Elizabeth   City 





Essex 

Fairfax                       -    -- 

12,235  30 
12,671  25 
4.56  62 
2,951  88 
3,940  23 
5,536  18 
5,529  71 
3,008  61 
4,792  49 
1,176  63 
1,530  36 
4,690  86 
13,075  45 
131  92 

FauQuier    -    -    -      _  __  _ 

'    ~ 

Floyd   -      —      — 

Fluvanna  

2,373  66 
1,828  09 

Franklin 

Frederick 

5,07?  02 

Giles 

4,102  58 

Gloucester 

3,008  61 
735  82 
583  83 
1,530  36 
522  41 
3,907  13 

Goochland 

Grayson    --  --  

- 



Greensville 

Halifax 

Hanover 

4,509  11 
23,541  53 
2,923  60 

Henrico   - 

18,928  09 

Henry                                 

4,487  58 
5,704  88 
5,786  33 
3,082  08 
1,500  12 
1,953  74 
872  93 

Highland              - 

5,704  88 
3,963  99 
1,245  08 
1,500  12 
1,953  74 
49  21 
3,990  49 
752  55 
9,226  43 
1,307  35 
1,387  64 
2,554  53 
1,349  39 
5,079  60 

Isle   of   Wight    

James  City 

King  George 

King    and    Queen 

King  William 

Lancaster              --  

3  990  49 

Lee                                  

6,586  77 
9,409  17 
5,349  73 
4,021  53 
2,554  53 
1,349  39 
8,326  07 

Mecklenburg    . 

Appendix. 


291 


TABLE    XVI.— CONTINUED.— EFFECT    OF    PROPOSED    SEGREGATION 
PLAN  UPON  LOCAL  REVENUES. 


COUNTIES 

Total  Deductions 

Total  additions 

1 

a 

8 
| 

WT3 

o  a 

I" 

8 

8 

•I 

|! 

Gains  and  losses,  ex- 
cluding rolling  stock 
tax 

Gain  to  coun- 
ties and  cit's1 

Loss  to  coun- 
ties and  cit'a 

Middlesex 

$      2,557  64 
20,768  14 
14,835  79 
23,141  92 
4,367  80 
39,782  69 
13,478  61 
5,009  11 
13,323  99 
28,036  96 
11,788  38 
3,607  38 
20,753  13 
2,826  52 
11,837  30 
8,142  86 
8,796  61 
27,049  66 
17,240  41 
4,142  28 
1,478  17 
32,383  84 
22,867  75 
42,100  08 
21,858  61 
15,300  14 
16,034  31 
17,600  95 
18,109  88 
4,648  42 
5,169  71 
3,877  44 
11,899  70 
32,308  37 
9,476  96 
5,129  42 
21,180  28 
2,724  61 
32,65065 
28,378  23 
3,029  47 

$      5,465  87 
16,766  48 
19,704  06 
15,546  64 
4,619  03 
84,168  84 
15,504  77 
9,723  01 
13,726  96 
14,965  08 
11,586  17 
6,329  46 
35,489  61 
5,530  55 
13,655  96 
10,871  30 
15,040  94 
17,041  30 
16,629  38 
7,327  41 
3,972  29 
29,613  72 
24,362  41 
53,906  06 
16,810  92 
12,529  24 
22,798  26 
16,466  84 
23,881  60 
8,220  53 
6,542  03 
8,365  02 
14,431  55 
25,361  04 
8,373  92 
10,965  41 
20,149  34 
6,337  90 
35,291  34 
18,746  36 
4,956  50 

$  2,908  23 

$2,908  23 
3,995  01 
11,466  87 

$  4,001  66 

4,868  27 

7,595  28 

$  4,3!43  91 

251  23 

44,386  15 
2,026  16 
4,713  90 
402  97 

2,587  63 
49,879  50 
4,963  40 
4,713  90 
6,468  04 

Norfolk 

Orange 

13,071  88 
202  21 

10,944  56 

Page 

4,204  21 
3,058  18 
19,120  03 
3,368  04 
5,447  47 
6,297  92 
7,006  08 

Patrick 

2,722  08 
14,736  48 
2,704  03 
1,818  66 
2,728  44 
6,214  33 

Pittsylvania 

Prince  George 



Prince  William 

10,008  36 
611  03 

7,798  25 

Pulaski 

6,297  23 
3,185  13 

3,185  13 
2,494  12 

2,494  12 
4,937  50 
9,835  01 
15,552  43 
5,968  60 
3,564  64 
8,663  94 
3,991  82 
9,927  00 
4,446  39 
3,386  52 
4,959  56 
8,149  86 
4,407  99 
4,079  54 
7,656  03 
7,587  12 
3,613  29 
16,649  14 

2,770  12 

~~~5~047  69 
2,770  90 

1,494  66 
11,805  98 

Bus  sell 

Scott 

Shenandoah 

6,763  95 

Smyth 

1,134  11 

5,771  72 
3,572  11 
1,372  32 
4,487  58 
2,531  85 

Stafford 



Tazewell 

6,947  33 
1,103  04 

Warren 

Warwick 

5,835  99 

Washington 

1,030  94 

3,613  29 
2,640  69 

Wise 

Wythe 

9,631  87 

201  31 

York 

1,927  03 

2,745  99 

Totals 

$1,452,508  45 

$1,645,317  89 

$192,809  44 

$652,606  22 

CITIES 
Alexandria                  -    - 

$      46,850  26 
5,570  58 
2,536  70 
10,377  87 
2,947  13 
26,461  63 
8,477  07 
78,940  59 
16,900  96 
123,125  87 
35,786  70 
18,552  35 
3,130  80 
342,852  13 
33,569  20 
20,141  88 
10,925  66 
909  64 
14,875  41 

$      20,608  22 
10,053  91 
3,768  03 
12,593  00 
8,076  28 
49,881  69 
9,793  24 
73,999  12 
39,318  04 
205,732  90 
52,905  67 
41,623  60 
6,046  08 
357,192  72 
71,714  15 
17,037  05 
9,857  44 
2,301  62 
9,903  13 

$  26,242  04 

$  25,675  78 

Bristol 

$    4,483  33 
1,231  33 
2,215  13 
5,129  15 
23,420  06 
1,316  17 

$    4,98638 
2  035  08 

Buena    Vista 

Oharlottesville 

2,647  03 
5,510  44 
24,228  38 
1,417  23 

Clifton   Forge 

Danville 

Lynchburg    _ 

4,941  47 

583  29 

Newport  News 

22,417  08 
82,607  03 
17,118  97 
23,071  25 
2,915  28 
14,340  59 
38,144  95 

23,920  37 
86,190  42 
18,455  94 
24,405  81 
3,399  19 
20,473  11 
40,526  78 

Norfolk 

Petersburg 

Portsmouth 

Radford 

Richmond 

Staunton    

3,104  83 
1,068  22 

2,882  12 
612  56 

Suffolk    

Williamsburg 

1,391  98 

1,391  98 

Winchester 

4,972  28 

4,943  86 

Totals    

fl    802,932  43 

$1,  002,  405  89 

$199,473  46 

$224,890  48 

292 


Report  of  Committee  on  Tax  Revision. 


EXHIBIT  A. 


(Published  in  this  place  by  courtesy  of  the  Auditor  of  Public  Accounts.) 

Receipts  from  Revenue,  Etc.,  Available  for  Support  of  the  Government  by 
Appropriation,  into  the  Treasury  during  the  Year  ending  September 
30,  1914. 

Adhesive  Stamps. — Sales  by  treasurers  and  clerks  of  counties. .   $        13,504  20 

Arrears  of  Taxes.— Judgments  and  old  debts,  etc.,  collected 629  93 

Banks,  State  and  National. — Taxes  on  stock  of  shareholders. . .          169,571  41 
Charters. — Fees  on  charters  of  incorporation  and  for  entrance 

into  State  of  corporations 46,804  93 

Clerks  of  Courts. — Collections  of  taxes  for  recording  deeds,  con- 
tracts, etc.,  for  probating  wills,  and  on  administrations 

granted   231,310  27 

Collateral  Inheritances-— Taxes  45,879  68 

Corporations,  Public  Service. — Taxes  as  follows: 

Express    $      26,823  21 

Railroad  and  canal 1,115,282  85 

Steamboat    10,386  20 

Sleeping  car    5,526  78 

Telegraph  and  telephone 65,451  49 

Water,  heat,  light  and  power 55,781  82 

1,279,252  35 

Courts. — Money  under  control  of,  five  years  or  more,  no  claimant  1,956  30 

Conscience  Fund.— Money  received  anonymously  by  Auditor  of 

Public  Accounts    35  00 

Costs  recovered  and  paid  into  the  treasury 9,453  94 

Dispensaries. — State's  portion  of  profits 20,370  17 

Examiners  of  Records. — Commissions  refunded  on  delinquents 

and  erroneous  assessments 5,428  82 

Fees  and  Taxes  collected  and  paid  into  the  general  fund  of  the 

Commonwealth  by  departments 23,288  21 

Franchise  Taxes  on  Virginia  corporations  other  than  insur- 
ance and  public  service 186,615  00 

Insurance  Companies. — License  tax   ($35,469.58)   and  taxes  on 

premiums,  assessments,  etc.   ($254,410.54) 289,880  12 

Interest  received  on  deposit  of  State  funds  ($33,560.02)  and  on 

taxes   ($671.55)    34,231  57 

Judges. — Portion  of  their  salaries  paid  into  the  treasury  by 

counties  and  cities 62,534  39 

Old  Furniture.— Sale  of  by  Register  Land  Office 10  00 

Oysters. — Ground  rents,  license  taxes,  etc 83,003  15 

Penitentiary. — Proceeds  from  hire  of  convicts 123,855  82 

Printed  Records. — To  pay  back  money  advanced  by  State  to 
print  records  of  cases  docketed  in  Supreme  Court  of  Ap- 
peals   10,779  46 

Public   Printing. — Refunded   by   departments,   insti- 
tutions, etc $    2,860  60 

Collected   by    superintendent   from   sale   of 

bills,  accounts,  journals,  documents,  etc 620  00 

3,480  60 
Registration  Fees  on  all  corporations 71,189  30 


Appendix.  293 


Taxes. — On   personal   property $    694,22446 

On   real  estate 1,777,911  87 

On  capitations    483,145  52 

On  incomes 157,060  62 

Licenses. — Liquor    $    465,722  88 

Other  than  liquor.     864,439  51 

—  1,330,162  39 

Delinquent  taxes  collected 63,424  16 

Penalties  on  taxes  collected 25,814  48 

$  4,531,743  50 


Total  of  receipts  for  support  of  the  government  by  ap- 
propriation        $  7,244,808  12 

Special  receipt  not  available  for  support  of  the  government  by 

appropriation  (see  Exhibit  B) 552,724  39 


Total  of  all  receipts $  7,797,532  51 


EXHIBIT  B. 

SPECIAL  RECEIPTS. 

Amounts  paid  out  of  the  Treasury,  Including  Funds  under  Control  of  Depart- 
ments, Paid  on  their  Warrants  or  Orders,  Paid  BacJc  into  the  Treasury 
during  the  Year  ending  September  30,  191Jf. 

Civil  contingent  fund  (by  order  of  the  Governor) . .  ..$       555  92 

Military  fund   8750 

Needy  Confederate  women 72  00 

Overpayments  by  Auditor  of  Public  Accounts 213  08 

Pensions 8,244  10 

State  Highway  Commission,  contingent  expenses. ...         455  06 

United  Agricultural  Board 31  50 

$        9,659  16 

Receipts  dedicated  by  law  to  special  purposes  paid   into  the 

treasury  during  the  year  ending  September  30,  1914: 
Agricultural  and  Immigration. — Pees  and  taxes  on 

fertilizers    $  84,977  18 

Hog  cholera  serum,  proceeds  of  sale. 8,000  00 

Dairy  and  Food  Commission. — Taxes  and  fees 24,964  60 

Dairy  and  Food  Commission. — Proceeds  from   sale 

of  reacting  cattle 4,469  62 

Agricultural    and     Mechanical     Colleges. — Received 

from  the  United  States  for  their  use 50,000  00 

Received  from  the  United  States  Lever  Agricultural 
Extension  Act. — Money  provided  by  Act  of  Con- 
gress May  8,  1914,  for  demonstration  work,  to 
be  used  by  Virginia  Agricultural  and  Mechani- 
cal College  and  Polytechnic  Institute 5,000  00 

Automobile  license  taxes  collected  by  Secretary  of 
the  Commonwealth  and  paid  into  treasury  for 
use  of  public  roads 115,435  88 


294  Report  of  Committee  on  Tax  Revision. 

Fines. — Collected  for  offenses  committed 
against   the    State,    part   of    literary 

fund $126,163  13 

Oyster  fines  2,404  01 

$128,567  14 

Nurseries. — Fees   for  registering   for   use   of   State 

Board  of  Crop  Pest  Commissioners 2,440  00 

State  Board  of  Health. — Fees  for  inspec- 
tion of  hotels $     1,702  51 

Sale  of  vaccine  virus 1,000  00 

2,702  51 

State   Corporation   Commission. — Bureau   of   Insur- 
ance, fees,  taxes,  etc 25,578  18 

Bureau  of  Banking. — Fees  for  examining  banks 19,160  00 

State  Library. — Proceeds  from  sale  of  State  publi- 
cations          4,372  68 

United     Agricultural     Board.  —  Received 
from    State    Board    of    Education. — 

Boys'  corn  clubs $    5,000  00 

Virginia  State  Fair 1,564  66 

6,564  66 

(Awards  and  sales  at  booths.) 

Waste  and  unappropriated  lands,  proceeds  from  sale 

of,  part  of  literary  fund 169  26 

$    482,402  71 


$    492,060  87 

United  States  Fidelity  and  Guaranty  Company,  surety  of  the 
Commonwealth  Bank,  Incorporated,  Richmond,  Va-,  sus- 
pended, on  account  of  State's  deposit  in  that  bank 60,663  52 


$    552,724  39 


EXHIBIT  C. 

Disbursements  for  Regular  Expenses  of  Government;  Payment  of  Interest  on, 
and  Sinking  Fund  for  Public  Debt;  Maintenance  of  State  Hospitals, 
Institutions,  Reformatories,  the  Penitentiary  and  State  Farm  for  Con- 
victs; for  Improvement  of  Public  Roads;  for  Support  of  Public  Free 
Schools;  for  the  Payment  of  Pensions;  for  Maintaining  the  Militia,  and 
for  the  Protection  of  the  Oyster  Beds,  etc.,  during  the  Year  ending 
September  30, 1914. 

Bonds  of  Clerks. — Premiums  paid  on  bonds  of  clerks  in  State 

offices,  Richmond $  703  75 

Cattle  Quarantine. — Expense  of  enforcing  quarantine  laws 3,800  00 

Capitation  taxes  returned  in  counties  and  cities 143,307  50 

Civil  Contingent  Fund,  expended  solely  on  the  order  of  the 

Governor   9,761  43 

Civil  prosecutions,  expense  of,  and  commissions  to  agents  for 

collecting  old  claims,  etc 27  88 

Code  revision,  expense  of 3,720  43 

Confederate  Memorial  Associations,  care  of  the  graves  of  Con- 
federate dead   2,275  00 

Courts. — Expenses  of  conducting,  attendants  on,  etc 28,731  82 


Appendix. 


295 


Criminal  Charges: 

Expenses  of  arrest,  trial,  maintenance  in  jail, 
clothing,    medical    attention,    medicine,    of 

prisoners    $354,964  25 

Maintenance  of  prisoners  on  the  public  roads. .     42,919  36 
Maintenance  of  inmates  in  reformatories,  cost 

of  transportation,  etc 42,644  82 

—     $    440,528  43 
Delinquent  Lands  and  Lots: 

Fees  for  recording $     4,687  50 

Expenses  of  sales 5,756  44 

10,443  94 

Fuel,  ice,  etc.,  used  in  public  buildings 6,815  38 

General  Account  of  Revenue: 

Commissions  paid  commissioners  of  revenue. .  .$101,020  47 

Commissions  paid  examiners  of  records 47,543  78 

Fees  paid  clerks  for  examining  land  and  per- 
sonal property  books 2,545  00 

Postage,  express,  etc 2,686  82 

Miscellaneous  expenses   275  80 

154,071  87 
General  Assembly: 

Senate,  salaries  and  mileage  of  mem- 
bers, officers,  clerks  and  pages.  .$  30,929  60 
Senate,  contingent  and  incidental  ex- 
penses         10,154  07 

$  41,083  67 

House    of    Delegates,    salaries    and 
mileage     of    members,     officers, 

clerks   and  pages $  63,724  30 

Contingent  and  incidental   expenses      8,312  31 

72,036  61 

Legislative  committees  sitting  during  recess...          268  00 

113,388  28 
Hospitals  for  the  Insane  and  for  Epileptics: 

Central  State  Hospital,  Petersburg $202,489  77 

Eastern  State  Hospital,  Williamsburg 125,463  62 

Southwestern  State  Hospital,  Marion 98,480  50 

Western  State  Hospital,  Staunton 138,740  72 

Virginia  State  Epileptic  Colony,  Amherst  Co. . .     90,449  06 

655,623  67 
Institutions — Educational  and  Charitable: 

Catawba  Sanatorium,  Salem $  50,583  38 

College  of  William  and  Mary,  Williamsburg...     66,900  00 
Home  for  Needy  Confederate  Women,  Richmond       5,000  00 

R.  E.  Lee  Camp  Soldiers'  Home,  Richmond 52,533  24 

Medical  College  of  Virginia,  Richmond 9,999  98 

State  Female  Normal  School,  Farmville 73,500  00 

State  Normal  School  for  Women,  Fredericksb'g     42,350  00 
State  Normal  School  for  Women,  Harrisonburg    58,683  33 

State  Normal  School  for  Women,  Radford 27,896  65 

University  of  Virginia,  Charlottesville 120,874  98 

Virginia  Agricultural  and   Mechanical   College 

and  Polytechnic  Institute,  Blacksburg. . . . .  141,643  31 

Virginia  Home  for  Incurables,  Richmond 1,000  00 

Virginia  Military  Institute,  Lexington 55,866  69 

Virginia  Normal  and  Industrial  Institute,  Pe- 
tersburg         26,875  00 


296 


Report  of  Committee  on  Tax  Revision. 


Virginia  School  for  Deaf  and  Blind,  Staunton..$  68,208  34 
Virginia    State   School   for   Colored   Deaf   and 

Blind  Children,  Newport  News 26,125  00 

$    828,039  90 

Insurance. — Premiums  on  insurance  of  public  property  in  Rich- 
mond     86  70 

Interest.— rPaid  Second  Auditor  to  pay  the  interest  on  the  pub- 
lic debt  of  Virginia 840,000  00 

Lands. — Proceeds  from  sales  of,  returned  purchasers  by  order 

of  court  73  34 

Lunatics. — Cost  of  maintaining  in  jails  until  removed  to  State 

hospitals    2,301  05 

Marriages. — Fees  of  clerks  of  courts  for  registering 597  63 

Military. — For  equipment,  maintenance,  etc.,  paid  out  of  fund 

set  aside  under  Section  376  of  the  Code  (as  amended) 77,144  59 

Needy  Confederate  Women.— For  aid  of,  Acts  1914,  Chapter  56.  3,813  50 

Needy  Confederate  veterans  suffering  with  cancer,  Acts  1914, 

Chapter  117   1,388  00 

Officers  of  the  government,  executive,  judicial,  clerks,  police, 

employees. — Mileage,  contingent  expenses,  etc 394,292  74 

Oysters. — For  protection  of,  and  for  collecting  revenue  from. . .  46,308  64 

Penitentiary  and  State  Farm. — Expense  of  operating,  mainten- 
ance of  prisoners,  etc 130,235  50 

Pensions  to  soldiers  and  marines  and  their  widows, 

and  for  funeral  expenses,  etc $512,828  84 

Clerical  and  other  expenses  in  office  of  the  Auditor 
of  Public  Accounts  connected  with  examining 

and  paying  these  claims 3,187  63 

516,016  47 

Printed  Records. — Advanced  to  print  records  in  Supreme  Court 

of  Appeals 10,447  60 

Public  printing  for  General  Assembly,  State  offices  and  insti- 
tutions      47,798  57 

Public  free  schools,  for  support  of,  etc 1,918,050  83 

Public  school  teachers,  pensions  to 5,000  00 

Public  roads,  for  improvement  of  (exclusive  of  $42,919.36  paid 

out  of  criminal  charges) 430,658  41 

Reformatories. — For  improvements,  teaching,  etc.  (exclusive  of 

$42,644.82  paid  out  of  criminal  charges) 30,494  60 

Sinking  Fund. — To  retire  public  debt  under  terms  of  settlement         119,423  92 

State  Board  of  Agriculture  and  Immigration: 

For  purposes  of  horticulture $    2,500  00 

For  Virginia  Truckers'  Association..      5,000  00 
For  chestnut  blight,  to  prevent  the 

spread  of 2,500  00 

For  testing  seeds 1,500  00 

For  advertising  resources  of  Virginia         313  25 

$  11,813  25 

Dairy  and  Food  Department: 

To  help  to  maintain $    7,500  00 

Tuberculosis   Fund. — Reacting  cattle      5,000  00 

12,500  00 

24,313  25 

State  Board  of  Charities  and  Corrections: 

Salaries  of  secretary,   clerks    and   expenses   of 

office    $     6,621  17 

Care  of  cripples  (Chapter  143,  Acts  1912) 90  29 

For  care  of  weak-minded 440  00 

For  supervising  neglected,  etc.,  children 85  25 

7,236  71 


Appendix. 


State  Board  of  Crop-Pest  Commissioners. — For  extermination 

of  insects,  to  help  to  defray  expenses $        8,019  57 

State  Board  of  Health: 

Salaries  of  commissioner,  assistants,  clerks  and 

expenses  of  board $  38,006  89 

Vital  statistics,  expense,  etc • 2,678  65 

40,685  54 

State  Board  of  Pharmacy,  salaries  of  secretary,  assistant  secre- 
tary, attorney,  clerk  and  expenses  of  office 5,223  64 

State  Convict  Lime  Board 921 

State  Geological  Commission. — For  expenses  of 16,772  77 

State  Library. — For  traveling  libraries,  book  stacks,  and  to  help 

maintain    14,870  37 

Tax  Commission. — Expenses  of 17,924  30 

Taxes  erroneously  assessed: 

Refunded    $     1,051  16 

Liquor  license  taxes  refunded  because  licenses 

revoked  by  local  option  election 2,464  57 

3,515  73 

United  Board  of  Agriculture. — For  expenses 17,786  25 

Virginia  Reports,  cost  of  publishing  in  book  form  the  opinions 

of  the  Supreme  Court  of  Appeals 1,906  24 

Warrants  reaudited  61  00 

$7,133,695  95 
Disbursements  of  special  receipts  and  for  special  appropriations 

(see  Exhibit  "D")    511,661  12 


$7,645,357  07 


EXHIBIT  D. 

Disbursements  for  Special  Purposes,  Paid  from  Receipts  into  the  Treasury 
for  those  Purposes,  and  Payments  on  Special  Appropriations  during  the 
Year  ending  September  30,  1914. 


Agricultural  and  Mechanical  Colleges: 

Distribution   of  money   received   from    United   States    for 

their  use  

Fines: 

Collected    for    offenses    committed   against    the 
State,  paid  Second  Auditor  for  the  literary 

fund   (Section  134  Constitution) $125,864  16 

Oyster  fines,  paid  Second  Auditor  for   literary 

fund    2,406  01 

Overpayments  returned    $         33  25 

Remitted  by  order  of  court. 5  00 

38  25 


Overpayments  refunded,  paid  back  to  persons  making  excess 
payments  into  the  treasury 

State  Board  of  Agriculture  and  Immigration: 

Salaries  and  expenses  paid  from  fertilizer  tax 

For  hog  cholera  serum 


50,000  00 


128,308  42 
53,528  64 

79,753  46 
8,326  02 


298 


Report  of  Committee  on  Tax  Revision. 


Dairy  and  Food  Department,  salaries  and  expenses  paid 

from  taxes  and  fees  collected $      26,768  51 

Tuberculosis  fund,  reacting  cattle,  paid  from  receipts  from 

sale  of  cattle,  etc 4,035  80 

State  Board  of  Crop-Pest  Commissioners. — Prom  fees  for  certi- 
ficates of  registration  issued  nurseries  for  extermination  of 
insects,  etc 2,440  00 

State  Board  of  Health. — For  expense  of  inspecting  hotels,  etc., 

paid  from  fees  collected 1,702  51 

State  Corporation  Commission,  Bureau  of  Insurance. — Salaries 
of  commissioner  and  clerke,  and  expenses  of  office,  paid 
from  taxes  and  fees  collected  to  maintain  the  bureau 26,793  28 

Bank  Examiner. — Salaries  of  examiner  and  clerks,  and  expenses 

of  office,  paid  from  fees  collected  from  banks 13,328  64 

State  Library. — For  support  and  maintenance  of,  paid  from  the 
proceeds  of  sale  of  State  publications,  and  fines,  etc.,  col- 
lected    4,372  68 

State  Accountant. — Money  advanced  to  pay  expense  for  exami- 
nation of  accounts  of  officers  of  counties,  etc 448  70 

Waste   and   Unappropriated   Land. — Proceeds   from 

sale  of,  paid  to  Second  Auditor  for  literary  fund  $     139  26 

Refunded  purchaser  of  land  warrant 30  00 

169  26 

$    399,975  92 
Also  amounts  paid  for  special  appropriations 51,021  68 

$    450,997  60 

State  deposit  in  the  Commonwealth  Bank,  Incorporated,  Rich- 
mond, Va-,  suspended,  charged  off  to  preserve  balance 60,663  52 


$    511,661  12 


VI  ^  J  »  .    ^      I  r  i 

TL    00017 


296202 


UNIVERSITY  OF  CALIFORNIA  LIBRARY 


